3rd Parties With Liens On Your Home
Due to the desperate financial times we are in, many homeowners are finding themselves in situations where they are often being tempted by 3rd parties loan companies. 3rd party companies are offering to assist borrowers with things such as paying for their property taxes, giving loans for all types of things, among other things. If you are a struggling homeowner you should never be easily lured into these deceptive and high interest loan just to get a quick financial relief. Think about the consequences before signing on the dotted line. These companies are usually on the hunt for homeowners they consider to be desperate for financial help, and they are making them hard to refuse loan offers.
Everyone knows we are in a tough financial times all over. The economy has tanked and unemployment is at a record high in recent years, and still approaching 10 % once again. These are the time we are most venerable of being taken advantage of by quick to lend lenders. Think about it, the economy is bad and you are a homeowner barely making your monthly obligations, even if you are able to brag about covering your monthly obligations you are doing o.k. Next, tax time is here again, any what sticks out, your property taxes are due again for a lot of us, not to mention you might not have paid off last years taxes. If you feel like you are financially strapped, you are not alone, the majority of the country is feeling the same thing you are feeling. Now you are getting offers from 3rd parties wanting to help you out, they want to pay off your property taxes, or give you a loan for repairs, among other things. The only thing you have to do is sign and complete the loan they are selling. What you may not be aware of is the lien they are placing against your property to completed the deal. Not to mention the outrageous interest rates and penalties they often charge for missing or being late with your payment, it‘s almost criminal. If you do not keep up with your payments to them they can come in and have your home foreclosure on just because of the loan they gave you. Often times their lien allows them to foreclosure on a property for a borrower not completing their obligations to them. These companies are extremely popular every year around tax time with their easy to qualify loan terms and the relief it will bring you and your family.
With the way the economy is, home owners associations and condo associations are also stepping up their powers to collect their association dues. They are now quicker to foreclose on properties, there are foreclosing “left and right “ in order to collect their association dues. Mortgage companies are aware of neighborhood and condominium associations too. Mortgage companies depend a lot on homeowners to inform them if such an action as foreclosure is threatened to take place if a payment is not made with in a certain amount of time. Just like insurance companies, mortgage companies are one of the most deep pocketed companies around and they are quick to pay off any lien infringing upon their lien if it makes sense. The same thing with property taxes, if those are not paid in time, a property owing any property taxes can be sold quickly for the county to recoup their dues.
Your lender has a vested interest in your property, and will defend it at almost any cost. If you are one of those homeowners on hard times, and there are many of them, and you have signed up for one of these predatory loans, do not hesitate to tell your mortgage company about this loan. Do not feel ashamed, there is no need to, you want to make sure any other liens on your property besides your mortgage company’s lien is paid off. You mortgage company will happily fund your creditors to take care of your outstanding balance and tack it on the end of your loan, especially if you are in good standing with your mortgage loan. Your mortgage company will often put this at the end of your loan with not interest or penalties. Mortgage companies do not like dealing with these 3rd party loan companies, but they all work with 3rd parties companies to satisfy the loans their borrowers become entangled in due to hard times, or for whatever reason. Now I am not advocating going out and taking out loan because you know your lender will rescue you if you are unable to pay, because you will have to pay it back in the long run. Whether it is paying it back through you completely satisfying your mortgage note by paying it off, refinance, foreclosure on your credit report, or loan modification. It must be paid back in one ways or another. Therefore, think twice before ever taking out any of these types of loans in your moment of desperation.
