RISMEDIA, July 13, 2009-Freddie Mac recently posted a new video on youtube.com that shows late-paying borrowers how gathering a few financial documents before calling a mortgage servicer can cut the time needed to determine their eligibility and process their application for a loan modification under President Obama’s Making Home Affordable program or Freddie Mac’s other workout initiatives.
Available in English and Spanish versions, the new Freddie Mac video, “Stop Foreclosure: Documents Your Lender Needs to Help You,” can be seen at Freddie Mac’s channel on YouTube(TM).
The two-minute video shows step-by-step which documents borrowers should have on hand when they call their servicer to discuss loan modifications. These documents can cut the time a servicer will need to understand the borrower’s situation, determine his or her eligibility for a workout, and process the application.
According to the video, the key documents borrowers should have when they call their servicer include:
– Most recent monthly mortgage statement;
– Pay stubs or other documents showing their household’s monthly pre-tax income;
– Most recent tax return;
– Second loan or home equity line of credit statements;
– Account balances and minimum monthly payments on credit cards, car loans, student loans or other debt;
– A short, concise description of the financial hardship that is causing – or leading to – a mortgage delinquency.
“America’s servicers are handling an extraordinary volume of calls from distressed borrowers seeking an Home Affordable Modification under the President’s program,” said Ingrid Beckles, senior vice president of default asset management at Freddie Mac.
“By taking a few moments to gather these documents borrowers can help their servicer understand their financial situation and reduce the need for repeat calls.”
Borrowers with questions about Making Home Affordable should call 888-995-HOPE.
Freddie Mac was established by Congress in 1970 to provide liquidity, stability and affordability to the nation’s residential mortgage markets. Freddie Mac supports communities across the nation by providing mortgage capital to lenders. Over the years, Freddie Mac has made home possible for one in six home buyers and more than five million renters.