Foreclosure Prevention Tool Kit

This page provides quick access to several resources to help homeowners, community stakeholders, and the banking industry help prevent unnecessary foreclosures and stop foreclosure “rescue” scams that promise false hope to consumers at risk of losing their homes.

Resources:

• Is Foreclosure Knocking at Your Door? This brochure explains how mortgage modification programs can help those at risk of foreclosure save their home. Organizations that need a bulk supply of the brochure for distribution to community stakeholders should visit the FDIC's Online Order Form.
• Beware of Foreclosure Rescue Scams. This brochure provides information on common scams, tips for detecting fraudulent deals, and resources for reporting criminal activity.Organizations that need a bulk supply of the brochure for distribution to community stakeholders should visit the FDIC's Online Order Form.
• Spring 2009 edition of FDIC Consumer News, features advice for consumers on avoiding foreclosure rescue and loan modification schemes.
• The Your Own Home module of the FDIC’s Money Smart curriculum encourages homeowners to promptly seek help to avoid foreclosure and avoid scams. The module can be accessed as part of the instructor-led curriculum for adults or through the Money Smart CBI.

   

  Consumer Resources

  If you are having difficulty making your mortgage payments, one of the most important things you can do is be proactive. Review the terms and conditions of your mortgage, learn about the foreclosure process for residents in your state and what may lead up to it, and find out more about the resources on a local, state and national level available to assist you in working with your lender and your finances.

  What is foreclosure? In the contract you signed when your mortgage lender loaned you money to buy your house, you agreed that if you can’t repay the loan, the lender can foreclose to take ownership of the house. If you do not pay your monthly mortgage payment, you are technically in default on your mortgage. State laws vary, but generally, a loan that is as little as 90 days delinquent can be considered in foreclosure. Your lender may send you a notice indicating that they are starting foreclosure proceedings, but don't wait; take steps to prevent a foreclosure as soon as you realize you are having trouble paying the mortgage.

  These links provide concise general information and advice.

  Foreclosure Counseling Resources 
  If you are in foreclosure trouble or may be in the future, call or visit a homeowner or foreclosure counselor.

  Loan Modification and Refinance Programs

  Foreclosure Rescue Scams

  General Guidance

  FDIC Consumer News Articles

  Other information you may find helpful can be found at the following website links.

  Military Personnel Mortgage Payment Relief and Protection

  Foreclosure Provisions of the Servicemembers Civil Relief Act (www.hud.gov)

  Informational Websites, Tools, and Tips

  • Homeownership Preservation Foundation
  • HUD Counseling Services or (800) 569-4287
  • NeighborWorks America or (888) 995-HOPE (4673)
  • Fannie Mae Counselor Search
  • Credit Counseling Agencies Approved Pursuant to 11 U.S.C. § 111 (Approved by Department of Justice for bankruptcy filers) 
  • National Foundation for Credit Counseling
  • Is Foreclosure Knocking at Your Door?
    Save Your Home - Mortgage Modification Programs are Available
  • Making Home Affordable 
    Making Home Affordable is a program the Obama Administration has introduced to help stabilize the housing market and help Americans reduce their monthly mortgage payments to more affordable levels. Eligible participants may have the opportunity to either refinance or modify their residential mortgage loans. The Home Affordable Refinance Program gives up to 4 to 5 million homeowners with loans owned or guaranteed by Fannie Mae or Freddie Mac an opportunity to refinance into more affordable monthly payments. The Home Affordable Modification Program commits $75 billion to keep up to 3 to 4 million Americans in their homes by preventing avoidable foreclosures. This website provides homeowners with detailed information about these programs along with self-assessment tools and calculators to empower borrowers with the resources they need to determine whether they might be eligible for a modification or a refinance under the Administration's program.
  • HOPE for Homeowners (H4H) 
    The HOPE for Homeowners (H4H) program was created by Congress to help those at risk of default and foreclosure refinance into more affordable, sustainable loans. H4H is an mortgage option designed to keep borrowers in their homes.
  • Beware of Foreclosure Rescue and Loan Modification Scams [Spanish]
    If It's Too Good to be True, it Probably Is
  • Foreclosure Rescue Scams: Another Potential Stress for Homeowners 
  • Consumer Alert — Bankruptcy Mortgage Foreclosure Scams 
  • Mortgage Payments Sending You Reeling? Here’s What to Do 
  • You Can Avoid Foreclosure and Keep Your Home 
  • Tips for Avoiding Foreclosure
  • Avoiding Foreclosure
  • Having Difficulties Paying Your Mortgage? Pay Attention to These Tips (Fall 2010)
  • Weighed Down by Debt? Here are Ways to Ease the Load (Fall 2010)
  • Buyer Beware: How to Protect Yourself from Foreclosure Frauds, Easy Money Schemes and Other Costly Deals (Spring 2009)
  • Help for Mortgage Borrowers – An Update (Winter 2007/2008)
  • The New Climate for Mortgage Borrowers (Fall 2007)
  • Special Edition: 51 Ways to Save Hundreds on Loans and Credit Cards (Summer 2007)
  • Attention ARM Borrowers: Contact Your Lender Before Higher Payments Put Your Home at Risk (Spring 2007)
  • A Shopper's Guide to Bank Products and Services Mortgages: More Choices, New Risks for Borrowers (Summer 2005)
  • Credit & Loans
  • Finding a Safe Loan
  • Putting Your Home on the Loan Line is a Risky Business
  • Looking for the Best Mortgage
  • Consumer Resource Book on Adjustable Mortgage Rates
  • Interest-Only Mortgage Payments and Option Payment ARMs
  • Homeowners Who Lose Homes; Foreclosure Tax Relief Available to Many