What Should I Include in My Financial Hardship Letter?

large suburban house

As you know, when people face the threat of bankruptcy or foreclosure on their homes, they will often seek the assistance of an experienced attorney who can help them explore their options. Fortunately for those who are struggling financially, in many cases, there are several options on the table. One of those options is loss mitigation. When you apply for the loss mitigation program, however, you will need to provide several documents, one of those documents being your financial hardship letter. Please continue reading and speak with our experienced Rockland County foreclosure defense attorney to learn more about loss mitigation, the financial hardship letter, and how our firm can help you through every step of the legal process ahead. Here are some of the questions you may have:

What is the purpose of the loss mitigation program?

Essentially, the loss mitigation program is so that certain homeowners can apply for a loan modification while demanding that the bank examine your financial ability to determine whether you will qualify for either the bank’s loan modification program or for a government loan modification program.

What documents will I need?

You will need several documents when applying for the loan modification program, including the following:

  1. Financial statements
  2. Bank statements
  3. Paystubs
  4. Your tax returns
  5. Your latest utility bill to prove that you are living in your home
  6. A financial hardship letter

What should I include in my financial hardship letter?

Crafting a well-written hardship letter plays a big role in determining whether you will be accepted into the loan modification program. Our firm can help you draft this letter, but as a rough outline, the first paragraph should state that you are writing a financial hardship letter and that you are requesting a mortgage modification. You will then go on to clearly illustrate the hardship you incurred that caused you to fall behind on payments (illness in the family, losing your job, etc). Finally, you will go on to repeat your request for loss mitigation and request that the interested party contact you for any additional information they may need. Though these letters are designed to provide a clear picture of your troubles, it is generally best to keep them short and sweet. Again, our experienced Rockland County foreclosure defense attorney is here to help. All you have to do is give our firm a call today.

Contact our experienced Rockland County, New York firm

The Law Offices of Allen A. Kolber, Esq. effectively represent clients facing Bankruptcy in Rockland County and all of New York State. Our firm understands the stress one can feel when facing a difficult financial future. Our compassionate staff will work to ease your fears and help you make a new start. If you need quality legal support, contact The Law Offices of Allen A. Kolber, Esq.