The truth about foreclosures is That NO ONE wants one. You, the homeowner, obviously do not want to loose your home to a foreclosure. The bank actually does not want to foreclose. The bank does not have anything to gain by foreclosing on your home. As a result of a foreclosure the bank finds itself with a home it does not want, a home it may have to hire a "trash-out" service to clean, a home it has to sell. Even when the bank does sell a foreclosed home it may loose money on the sale of the home. About the only person that benefits from a foreclosure is the "trash-out" service.

So naturally the bank wants to avoid a foreclosure as much as you do. In an attempt to keep you, the lender, in your home the bank will do what they can to work with you. In order to help you keep your home, the lending institution will offer to provide a mortgage modification. The mortgage modification is created to help you and the bank from taking a loss.

Contact your bank to find out what mortgage modifications may be available to you. Your bank will usually offer to modify your mortgage if they feel confident in your ability to pay the new terms of the mortgage. Your lending institution may have several methods of mortgage modification options.

Lengthen the term of your mortgage

This will spread out the total amount of payments, which will result in a lower monthly payment. The downside to this is that the extended length of the mortgage will increase the total amount of interest you pay over the life of the loan.

Lower your interest rate

Often your interest rate will have increased since the inception of the loan due to a variable interest rate. By decreasing the interest rate you are charged your monthly payment will be reduced. Usually this new rate will be a fixed rate.

Deferring payments

While this may buy you time to get past a temporary setback, it will not effect your monthly payment or lower your interest rate. You will eventually be faced with the same obligations you had prior to the deferment. This may interest you if you are behind in mortgage payments due to a temporary situation such as a temporary illness, but if your situation is of a more permanent nature, this will most likely not be for you.

Some banks will offer a combination of these mortgage modifications. Each bank will vary and so will their willingness to help you modify your mortgage. Some lenders will accept documented hardship as enough reason to consider loan modification while others will require the homeowner to be seriously delinquent in their payments before they will discuss a mortgage modification.

If you are struggling to meet your monthly mortgage obligation it will usually benefit you to contact your lending institution in regards to a mortgage modification After all it will benefit the bank to help you remain in your home and continue making monthly mortgage payments.

Discover how you can ethically modify your home mortgage loan and save as much as 47% off your current mortgage payment in as little as 60 days without refinancing? For your FREE CD, FREE e-book, and FREE coaching call with Mortgage Modification Expert and Business Man of the Year Billy Alvaro visit our website Saint Jude's Mortgage Rescue