Our mortgage company gave us until January 10 to pay a certain amount of money. They said if its not paid by that date they will accelerate the loan. What exactly does that mean?
2006-12-23 04:06:52 · 12 answers · asked by Jen k 2 in Business & Finance ➔ Renting & Real Estate
By accelerating the mortgage, the lender is calling all debts (Principal, interest, late payments, late fees...) due immediately. I would ask if you could get into a forbearance agreement with them, but if you're having a tough time paying right now, the increased payment of this agreement is going to be a kick in the butt.
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2006-12-23 07:36:01 · answer #1 · answered by baconshmals 2 · 0⤊ 0⤋
Accelerate Mortgage
2016-12-10 15:41:24 · answer #2 · answered by ? 4 · 0⤊ 0⤋
1
2016-10-15 07:59:42 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Accelerate, as you know, means speed up. They're calling your loan now instead of at the end of the term because you've broken the contract with them by not making the payments. Why do you think you qualify for help when they've denied you? You don't fit the criteria, whatever it is. You may owe too much, or not have enough income. Modifications are temporary things, and if there's no prospect that at the end of the mod you'll be able to go back to the regular payments, they'll foreclose now instead of later. You can try Hope Now, but I haven't seen much success on their part. Have you talked to them about Making Homes Affordable? The thing is, not everyone will be able to get a modification. There are a lot of conditions to being able to grant it, and the lender has rules to follow.
2016-03-13 11:22:41 · answer #4 · answered by ? 4 · 0⤊ 0⤋
Your mortgage company is begining the foreclosure process. Each state varies on how it handles foreclosure (I am very familiar with Georgia as I run a foreclosure business here). They have sent you a "catch-up" payment and you will need to pay it in full or negotiate with them. In most cases, they cannot accept a partial payment. Accelerating your mortgage simply means that you must now pay the remaining balance (typically an impossible situation). There is a clause in your contract allowing them to do this. Understand that the mortgage company DOES NOT want to foreclose on your property. It is very costly and time consuming. I strongly recommend that you open a dialogue with the company to see if you can work something out. Best of luck.
2006-12-23 04:26:12 · answer #5 · answered by David 3 · 0⤊ 0⤋
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what does it mean if my mortgage company accelerates the loan?
Our mortgage company gave us until January 10 to pay a certain amount of money. They said if its not paid by that date they will accelerate the loan. What exactly does that mean?
2015-08-10 02:19:39 · answer #6 · answered by Anonymous · 0⤊ 0⤋
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RE :What does it mean if my mortgage company accelerates the loan?
Our mortgage company gave us until January 10 to pay a certain amount of money. They said if its not paid by that date they will accelerate the loan. What exactly does that mean?
Follow 10 answers
2016-11-10 13:09:58 · answer #7 · answered by ? 6 · 0⤊ 0⤋
i wish i knew if you must pay a baloon payment on a part of your mortgage or all of it; or if you are in arrears on your mortgage payments...
acceleration only means that a valid demand for all of the money that the bank now wants must be paid by the date you specify, or else the bank will begin foreclosure, if it's the total amount of the mortgage. you should have known about this when you closed on your real estate: your real estate attorney should have explained everything to you about the acceleration, and certainly, your real estate professional sales agent (Realtor) and/or your mortgage lender, should have told you up front what the acceleration meant and what was going to happen in the future.
read the documents you signed at your closing. read your sales contract. they should all be in your safety deposit box.
you only have yourself to blame if you went on the cheap and didn't hire a real estate agent or attorney, doing it all on your own. if you must read your papers then, kick yourself and do it. do it now.
2006-12-23 04:14:27 · answer #8 · answered by Louiegirl_Chicago 5 · 0⤊ 0⤋
This means that if you don't pay the amount past due, it will call the entire note due. You'll need to either sell the home or refinance with another company (which may be difficult if you're already late on this mortgage)
Good luck.
2006-12-24 06:01:40 · answer #9 · answered by trblmkr30 4 · 0⤊ 0⤋
The acceleration clause in a mortgage is also called a due on sale clause. It means there is a balloon payment due or you will be found in default. The balloon could be a recast, or the entire remaining principal balance.
2006-12-23 04:11:07 · answer #10 · answered by Kevin H 4 · 1⤊ 0⤋