Fannie Mae, Freddie Mac and other Lenders Suspend Foreclosures during Christmas Holiday
PR Log - Dec 15, 2012 - Homeowners who are struggling to pay their mortgage won’t have to worry about being evicted during the Christmas season. Fannie Mae, Freddie Mac and Bank of America have all announced they are putting off foreclosing on properties until after the New Year.
On December 8, 2012, Fannie Mae announced that foreclosure evictions would be suspended beginning on December 17th. Freddie Mac also announced that day that they would suspend foreclosures effective December 19th. Bank of America has also stated that they will stop foreclosures during the Christmas holiday as has been their practice for a number of years.
The fact that homeowners won’t be displaced during the holidays can take a load of pressure off them during this time; however, it does not provide complete amnesty. The suspensions will not affect properties that are already in foreclosure or slated to be foreclosed upon before the grace period goes into effect. Likewise, auctions of already-seized property will take place as usual. It is always advisable to speak with a bankruptcy attorney in Denver if you have questions http://bankruptcyattorney-denver.com
Homeowners who fear they could be nearing foreclosure may want to consider using the suspension period to help them gain some relief. First, those who are unsure as to whether Freddie Mac or Fannie Mae services their mortgage might try to obtain this information either by contacting their mortgage provider or visiting the official websites of these two organizations.
Even if homeowners are able to confirm their mortgage is serviced by Fannie Mae, Freddie Mac or Bank of America, this does not mean they are out of the woods completely. Foreclosures are scheduled to resume in early January, and it’s likely that lending officials will be working overtime to catch up on the backlog that occurred during the Christmas holiday. Even so, this reprieve could be just enough time to benefit a number of Denver residents during the interim.
Those who are fortunate enough to be given some Christmas cash could just find themselves being able to catch up their arrears before 2013 arrives, thereby staving off foreclosure altogether. Homeowners who are unable to catch up their past-due payments now have a little bit of time in which to review their other options, which can sometimes include contacting a bankruptcy lawyer in Denver.
Bankruptcy is not appropriate in every situation; however, for those who qualify, filing a petition in a timely manner could result in homeowners being able to work out a more affordable payment plan. Those who would like to find out whether filing a bankruptcy petition during the grace period could effectively help them are encouraged to contact a bankruptcy attorney in Denver as early as possible.