Avoiding Foreclosure

If you're having trouble making your mortgage payments to us, it’s important to let us know as soon as possible so we can help you avoid foreclosure and minimize damage to your credit rating. There are a lot of resources out there to help homeowners. Sit down with our one of our mortgage loan officers today, they will discuss ways to help you keep your home and stay on track for a bright future. Get help now. Call O Bee and ask for our mortgage department at (360) 943-0740 or (800) 642-4014.

Some of your options include:
 

• Refinancing your mortgage by lowering your monthly payments. This could extend the repayment period and/or reduce the interest rate.
• Making your payments more affordable by modifiying your current mortgage.
• Surrendering your deed to us voluntarily.
• A special consideration from O Bee based on your current circumstances.
• Selling your home to repay your mortgage in full. If your home's value is less than your outstanding loan balance, we may be willing to accept the amount of your home sale as full payment. This is known as a short sale.

When contacting O Bee, please be sure to have the following documents ready to help us evaluate your eligibility: Two most recent pay stubs (or other proof of income, such as SSI payments or retirement income).

• Two most recent statements from all bank or credit union accounts.
• Most recent tax return and all supporting documentation.
• Most recent property tax statement.
• Hardship letter explaining why you are unable to make your payments.
• A list of your monthly expenses.
• We may ask for additional documentation of your expenses.
• We may ask for additional information to better evaluate your qualifications for these programs.

To find a certified housing counseling agency, call:
Washington State Department of Financial Institution's Foreclosure Hotline: 877.894.HOME (4663) or VISIT THEIR WEBSITE

Tips For Avoiding Foreclosure

Are you having trouble keeping up with your mortgage payments? Have you received a notice from O Bee Credit Union asking you to contact us?

1. Don't ignore the problem. The further behind you become, the harder it will be to reinstate your loan and the more likely that you will lose your house.
2. Contact your lender as soon as you realize that you have a problem. Lenders do not want your house. They have options to help borrowers through difficult financial times. 
3. Open and respond to all mail from your lender. The first notices you receive will offer good information about foreclosure prevention options that can help you weather financial problems.  Later mail may include important notice of pending legal action.  Your failure to open the mail will not be an excuse in foreclosure court.
4. Know your mortgage rights. Find your loan documents and read them so you know what your lender may do if you can't make your payments.  Learn about the foreclosure laws and timeframes in your state (as every state is different) by contacting the State Government Housing Office. 
5. Understand foreclosure prevention options. Valuable information about foreclosure prevention (also called loss mitigation) options can be found on the internet at HUD.
6. Contact a HUD-approved housing counselor. The U.S. Department of Housing and Urban Development (HUD) funds free or very low cost housing counseling nationwide.  Housing counselors can help you understand the law and your options, organize your finances and represent you in negotiations with your lender if you need this assistance. Call (800) 569-4287
7. Prioritize your spending. After healthcare, keeping your house should be your first priority.  Review your finances and see where you can cut spending in order to make your mortgage payment.  Look for optional expenses-cable TV, memberships, entertainment-that you can eliminate. Delay payments on credit cards and other "unsecured" debt until you have paid your mortgage.
8. Use your assets. Do you have assets-a second car, jewelry, a whole life insurance policy-that you can sell for cash to help reinstate your loan? Can anyone in your household get an extra job to bring in additional income?  Even if these efforts don't significantly increase your available cash or your income, they demonstrate to your lender that you are willing to make sacrifices to keep your home. 
9. Avoid foreclosure prevention companies. You don't need to pay fees for foreclosure prevention help-use that money to pay the mortgage instead. Many for-profit companies will contact you promising to negotiate with your lender.  While these may be legitimate businesses, they will charge you a hefty fee (often two or three month's mortgage payment) for information and services your lender or a HUD approved housing counselor will provide free if you contact them.
10. Don't be scammed! If any firm claims they can stop your foreclosure immediately if you sign a document appointing them to act on your behalf, you may well be signing over the title to your property and becoming a renter in your own home!  Never sign a legal document without reading and understanding all the terms and getting professional advice from an attorney, a trusted real estate professional, or O Bee Credit Union.