• Increase Your Income
  • Collect federal and state benefits if your are eligible
  • Claim the earned income tax credit if you are eligible
  • Stop all voluntary deductions being taken out of your paycheck
  • Consider selling unnecessary property to raise money

  • Reduce Your Expenses
  • Review every expense for potential savings - reduce or eliminate unnecessary expenses
  • Pay only for the type of phone service you need (cancel cell phones)
  • Cancel cable or satellite television service temporarily
  • Identify ways to conserve on energy and other utilities
  • Participate in a home weatherization program
  • Review your homeowner's and auto insurance policies and shop around

  • Other Considerations
  • Contact your mortgage servicer at the first sign of trouble
  • Ask your utility company for budget billing so you can pay the same amount each month
  • If you are behind on your utility bills, start an affordable repayment plan



  • Identify the Problem
  • What caused your current situation (job loss, illness, divorce, decreased income)
  • How long do you expect your difficulty to last
  • What specific type of help do you need
  • How much can you afford to pay toward your mortgage

  • Communicate
  • Speak with your bank's delinquent loan or loss mitigation specialist
  • Explain your situation
  • Ask for a mortgage workout package
  • Keep a phone log that shows the date and time of your call, who you spoke to, the person's phone number and what was said
  • Follow up your phone call with a letter and keep a copy for yourself
  • Send all letters by certified mail and keep the receipt

  • Pay What You Can and Save the Rest
  • Send to the bank as much of the mortgage payment as possible
  • If the bank returns your payment, save the money - do not spend it on other bills

  • Know Your Options
  • There are many ways the bank can help you if you fall behind on your mortgage
  • Which one your choose/need and what the bank allows will depend on your individual situation.
After Falling Behind
Homeowner Checklist continued...
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Copyright 2009 4-Sight Counseling, Inc. All rights reserved.
937 Broadway
Suite 305
Cape Girardeau, MO 63701
ph: 573-334-7995
fax: 573-335-8610
4sight@prodigy.net