If you are facing a foreclosure, you will need to seek some form of grace from your mortgage company. If you have a good chance of avoiding foreclosure if only the bank will agree to a mortgage modification plan, then you will need to write them a hardship letter. Some lenders may request or require a hardship letter from you before they will consider a loan modification or short sale, even if you have retained a foreclosure lawyer. Below are some facts about this very important document. A hardship letter is pretty much what it sounds like; it explains how your real estate financial problems came to be and tries to prove your ability to work them out.
14+ SAMPLE Debt Hardship Letters in PDF | MS Word
4 Ways to Write a Letter to Reduce Credit Card Interest Rates
Almost every adult in this country has credit card debt. Some only have a few hundred dollars of debt, while others have thousands of dollars of debt. Either way, there may come a time when it becomes extremely difficult to pay even the minimum amount that is due. The economy continues to be unstable and this means that it is possible that you may need some sort of debt relief, such as a lower monthly payment for a short period of time. This is something that credit card companies are very familiar with. In most cases, credit card companies usually agree to work with people in difficulty because the alternative for the debtor is to request bankruptcy, which means the credit card company gets nothing.
How to Write a Hardship Letter to a Creditor
If you come to the point that you have to consider a short sale, you will need to write a hardship letter to your lender. They establish facts in a way as to convince a mortgage lender to grant a short sale or loan modification instead of a foreclosure. Spell out in the hardship letter the exact circumstances or life changes that make it impossible to meet the payments and to maintain the home given the current rate and mortgage terms.
Things you should consider when writing a credit card hardship letter requesting a debt settlement:. The older your debt gets the harder is for them to collect it Be professional and polite Your opening offer should be about 20 percent of the debt amount Be confident and persistent Don't show hesitation or get angry Make only offers you can afford Try to negotiate lower interest rates. Credit Card Letter of Hardship Sample. Keep in mind that this sample letter is only a guide in order to start the negotiation. Your personal information and the specifics of your situation must be added, changed or deleted.