| Thousands of borrowers stuck with unaffordable | | | | hardships you are facing. Your financial statements will |
| home loans need to know how to modify their | | | | show all of your income and expenses, and should |
| Countrywide mortgage. A loan workout that lowers | | | | show a little money left over each month after you |
| your interest rate, extends the loan term or even | | | | pay all of your bills. This helps the bank feel confident |
| defers some of your principal balance could result in a | | | | that you will not be at risk for default in the future. |
| monthly payment you can afford. But what is the | | | | Do you know how to meet the debt ratio |
| best way to apply and qualify for a Countrywide loan | | | | requirement for a Countrywide loan modification? |
| modification? Here is some helpful information to get | | | | This is not hard-really just simple math-but it is one of |
| you started. | | | | the main criteria for approval, so make sure you |
| Countrywide is offering some very aggressive loan | | | | understand how to calculate your debt to income |
| modifications to borrowers who can prove they | | | | ratio. You take your gross monthly income and divide |
| qualify for help. How do you prove to the bank that | | | | it into your monthly housing expenses. For example, |
| you are eligible for this assistance? You will be asked | | | | if your income is $3000 and your house payment |
| to complete an application form and provide a | | | | including taxes, insurance and homeowners dues is |
| detailed accounting of your income and expenses. | | | | $1500, your debt ratio would be 50%. The new |
| The lender will review this information, ask you some | | | | modified payment should equal 45% to 31% of your |
| questions and based on what they see and hear will | | | | income, depending on the loan modification program. |
| make a decision to either approve or deny or loan | | | | You have a one-time chance to apply for a |
| modification application. | | | | Countrywide loan modification, make sure you do it |
| The secret to getting approved is simple-make sure | | | | right. You must be prepared and have your |
| your paperwork shows that you meet the | | | | paperwork completed before calling the bank if you |
| requirements for approval. What are the | | | | want the best chance for approval. That way you |
| requirements? Well, you must be able to meet the | | | | have time to fine tune and adjust your figures so |
| debt ratio criteria, be able to prove your income, and | | | | you don't make a mistake. You can do it yourself, |
| show that you have a financial hardship situation. You | | | | but just be sure to take the time to learn how to |
| loan modification application will include a hardship | | | | prepare your application correctly. |
| letter that explains your situation and tells about the | | | | |