Forbearance Isn’t Your Only Option!
Are you considering a Forbearance on your mortgage even though you may have considerable assets or equity in your home? Please understand the impacts of Forbearance on your financial future before making this critical decision.
- Forbearance pauses or reduces mortgage payments, for a limited time
- It does not erase what you owe
- Any missed or reduced payments must be repaid in the future, including interest
- Eligibility for forbearance under the CARES Act is limited to borrowers who have experienced a verifiable Covid-related financial impact
If you are able to continue making your mortgage payments and can benefit from today’s low interest rates, a loan refinance may be a better option for you to consider given the many potential benefits of a refinance:
- Get cash-out so you can take care of important obligations or needs
- Take advantage of lower interest rates to reduce your monthly payment
- Reduce your loan term to pay off your home faster
- Lengthen your loan term and lower your monthly payment
- Eliminate mortgage insurance and get into a conventional loan, which would again lower your monthly payment
- Consolidate high interest non-mortgage debt, such as credit cards, and auto loans
While it’s important to understand all options available to you, a refinance is not suitable for everyone. If you’re in need of financial relief and are unable to make your monthly payments, you should contact your loan servicer to learn more about forbearance and payment options.