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How to Stop Mortgage Foreclosure: 3 Things NOT to Do If You Want to Save Your Home

Updated on April 13, 2010

If you want to stop mortgage foreclosure, there are options available to you. A simple Google search will turn up tons of info telling you what you should do. Here, we tell you the top three things you should not do if you want to save your home.

Want to Stop Mortgage Foreclosure? Don’t Ignore Your Lender

Since the mortgage foreclosure crisis started in the fall of 2007, it’s stood the housing market on its head. But, some good has come out of it – especially for struggling homeowners. What, you may be wondering?

Well, lenders are more willing to work with homeowners now. And there are more programs than ever before available. From the Obama administration’s “prevent foreclosure” Making Homes Affordable program, to individual lender programs.

So call your lender at the first sign of trouble. The truth of the matter is, they are probably not going to be willing to work with you until you’re 30, 60 or 90 days late. And, the collection calls will come.

BUT, you’ll feel so much better being proactive, rather than being a nervous wreck every time the phone rings because you know it’s yet another bill collector.

To Stop Mortgage Foreclosure, Don't Spend All of Your Money

“What money?” you may be thinking. What I mean here is, start saving as much as you can because you may need it to catch up when your lender does give you a workout plan, and/or for moving expenses if the worse eventually does happen and you do lose your home to foreclosure.

What happens is, when most homeowners face foreclosure, they’re not just behind on the mortgage payment; they’re behind on other bills to. And, the phone rings off the hook with creditors calling.

You may have three, four or five different creditors calling you two to three times a day – each. So, it’s tempting to try to pay as many of your bills as you can just to keep the stress level down.

BUT, your home is probably your most valuable asset; not to mention it is literally the roof over you and your family’s head. Food, clothing and shelter are necessities during hard times, not paying a late credit card bill just to keep debt collectors from hassling you.

So stockpile your cash because sometimes when lenders do workout plans, they may allow you to skip a few payments that will get you caught up, if you pay this month’s mortgage, plus any late fees.

Having a few hundred or a couple of thousand dollars on hand can literally be the difference between being able to stop mortgage foreclosure – or losing your home altogether.

See why it’s important to stockpile case if you can?

Don’t Stop Making Payments If You Want to Stop Mortgage Foreclosure

Facing foreclosure can be overwhelming – especially if you feel like you’re falling further and further behind each month. And, as mentioned above, if you have other creditors calling you, it can be tempting to just throw in the towel and stop making payments altogether and wait for the inevitable to happen.


Even if you fall two or three payments behind, you can still stop mortgage foreclosure. BUT, you don’t stop making payments. One reason is, many lenders don’t begin the formal foreclosure process until you are at least 90 days behind.

So, for example, if you make one payment in 90 days, this means you are really only 60 days late, not 90 (when most start the home foreclosure process).

While a bank can technically foreclose on your home if you’re even one day late, the reality is, it’s cheaper for them to keep you in your home. The bank DOES NOT want to take your home. They want you to stay in it.

So, unless you stop paying altogether and become egregiously late, eg, four, five or six months late, you still have a chance to work something out to stop mortgage foreclosure.

Learn the #1 secret your lender won’t tell you that can stop foreclosure.

Remember, if you’re facing foreclosure, you’re not alone. A lot of Americans are right now. And it’s the reason so many lenders are willing to work with homeowners to stop mortgage foreclosure.


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    • thevoice profile image

      thevoice 7 years ago from carthage ill

      smart learning hub write thanks