It seems that the rules for loan modification are changing daily!   When you drive down the street you see giant billboards announcing,  “Get your loan modified with us!”  Radio, T.V. and the internet are inundated with loan mod ads!  With all this noise out there, how do you know who you can trust?  Articles are full of stories of individuals who paid scammers large sums of money up front and never saw any results.   They say it is a sea filled with sharks that are looking to make a quick buck!

Individuals can call their bank or lender to begin the loan modification process.  If you are not well versed in mortgage lingo this may prove a troublesome process.  Additionally, the person you are dealing with is an employee of the bank, so whose best interest are they looking out for?  There are good companies like LIFE – Leaders In Financial Education (http://www.leadersinfinancialeducation.com) and non-profit agencies that will represent your interests, but what are the proven tips for finding such a trustworthy company?

First, good loan modification companies are companies that work hard and do the research to stay on top of the best options for you! They should be able to show proof of their success! Ask to see completed modifications.  In some cases you may even get permission to talk to clients about their experience.

Second, does the company offer more than just help with the modification?  Chances are, if you need help with your loan, you may need help in other financial area’s. Do they provide other financial education?  Do they offer a no cost analysis of your whole financial picture?  Are they willing to help you beyond just handling the paper work?   Do they walk you through the process or are they just letting you hang out there wondering how it’s going?  For a free, no cost loan analysis of your current mortgage http://www.free-foreclosure-stop.com

Liar loans, officially called “Alt. A loans,” or “stated income” loans where borrowers gave little proof of income, could be the next threat to the troubled real estate market in Las Vegas and California.   They were an important part of the buying boom of 2004 and 2005.  Alt. A loans totaled $368 billion in 2006, up 28% from 2005.  They grew faster than subprime loans, but some believe it can shrink faster than what we have witnessed in recent months.

This was the major reason California passed a 90-day foreclosure moratorium that began June 15, 2009.  Every 30 seconds someone loses a home to foreclosure in California.  90,000 every month. Earlier this year Florida passed a voluntary 45-Day freeze on all new foreclosures. Nevada has yet to pass a foreclosure moratorium but they remain the number one state in the nation in the number of foreclosures, with one out of every 68 homes in foreclosure. If you believe you hold one of these loans, take a few minutes to fill out this questionnaire and ensure your home does not end up in foreclosure http://free-foreclosure-stop.com

Alt. A loans were most popular with buyers seeking investment property in addition to professionals and self-employed people who wrote off a lot of income, so their tax returns did not reflect what they were earning.  Now, five years later, with home prices down, investment property is expensive to maintain and owners are finding it very difficult, if not impossible, to refinance another loan.   Five-year, interest only Alt. A loans are coming due this year.  When the California foreclosure moratorium ends in September will we have more foreclosures hit the fan?  We do not know which Wall Street firms purchased mortgage-backed securities comprised of Alt. A loans.  Will September bring a second wave of foreclosures, lay-offs, and bank closures?

If you are caught in the current foreclosure crisis, or think you may be caught in the next wave, there are answers.  Contact your bank or lender, contact Freddie Mac or Fannie Mae for help with the federal loan modification programs.  Non-profit organizations and companies like LIFE – Leaders In Financial Education www.leadersinfinancialeducation.com offer no cost personal reviews, a financial analysis and options.   Start now, get information before the moratorium ends.  You will be surprised at the number of answers that exist.  http://www.free-foreclosure-stop.com