What to Know About the Loss Mitigation Program in New York

If you have made the decision to file a bankruptcy case to stop a foreclosure on your home, you are entitled to apply to the Loss Mitigation Program of the Bankruptcy Court. This program will allow you to request a loan modification for the bank to review your financial ability and determine if you qualify for one of the government loan modification programs or the bank’s internal loan modification program. To learn more about this progress, continue reading and reach out to our experienced bankruptcy attorney. Here are some questions you may have about the Loss Mitigation Program in New York:

What documents will I have to provide to apply for a loan modification?

You will be required to provide the following information when applying for a loan modification:

  • Profit & loss statements (if applicable)
  • Current utility bills to ensure you are residing in your home
  • Tax returns, either personal or business
  • A hardship letter explaining why you cannot pay your mortgage and are therefore defaulting
  • Each wage-earner in your household’s pay stubs
  • Financial statements
  • Bank statements, either personal or business

What are the benefits of hiring an attorney?

The main benefit of hiring a bankruptcy attorney from our firm is that they will hold the experience and knowledge of dealing with the majority of all law firms representing New York State’s banks. Our attorney will submit your package directly to the firm and bank representative as well as provide you with help in finding and presenting all of the important documents needed to qualify for a loan modification. With an experienced attorney in your corner, they will assist you in any circumstances in which banks deny loan modifications. To learn more about gaining our assistance, contact our firm today to discuss our service and to learn how we can assist you and your specific circumstances. Give our firm a call today to schedule our initial consultation with our legal team.

What else can the Loss Mitigation Program offer?

When you have received your loan modification, your loan term can be extended 40 years with lower monthly payments. The Loss Mitigation Program also offers solutions for alternatives to loan modifications such as loan refinances, forbearance, short sales, and more. Another benefit of the Loss Mitigation Program is that your interest rate should go down to 2%.

Contact our experienced New York firm

Bankruptcy, for many people, is a frightening endeavor. Fortunately, with the help of an experienced attorney, it does not have to be. If you require the services of an experienced Business Law or Bankruptcy attorney, contact the Law Offices of Allen A. Kolber, Esq. today to schedule a consultation and discuss your options. We will have your back every step of the way.