Loan Modification Forms – 3 Mistakes to Avoid Driving Your Loan Off the Theoretical Highway

what is loan modification

The critical part of helping people who are facing financial difficulty is making sure your service broker has filled out all the required information properly. All the information about your income, debts, expenses the specific situation you’re in and how to communicate with them is going to be very important to see whether or not you’re going to help your client in the best possible way. But if you’ve asked the borrower to provide information and they have just finished it, chances are you aren’t going to help them at all.

However, if you’re not sure about a required piece of information, or if you aren’t sure how to answer the right questions to the right people; you’re going to make a bad impression with the homeowner and possibly lose the chance to help get that client on track. Loss mitigators are trying to determine if they even want to apply for your modification or not. Being accurate in your information is more important than rushing your information to the borrower so they can fill in their information.

On the other hand, there are a few common mistakes that loan modification damaging folks make. By seeing if you can avoid them, you can show your company a series of ways it’s possible to increase the chances of getting your clients approved.

  1. Being Unrepairable: The goal is to show the client that you’re going to go that extra mile. This means proving yourself as being reliable and trustworthy. That means answering any questions, being punctual, carry a clear bag, and proving you’re an asset to the mortgage company. It’s important not to be too demanding or too nice, so as not to appear too ruthless.
  2. Being Unorganized: Notesty goes both ways, so you have to make sure you’re organized enough to provide your clients with the information they need. That means cutting to the chase, but it also means not wasting time on lengthy explanations. Your client is more likely to believe you if you save them the trouble of reading through a lengthy explanation that they’re not interested enough in your services. They want to know you’re a resource and they want your services.
  3. Being figured out exactly how to solve their hardship: As this should be obvious, not answering how you’re going to solve a borrower’s hardship will only give them a reason to keep your company from representing them. If you’re trying to place a homeowner in a loan modification, they may already have a general idea of how to proceed and are not as willing to hear any more information on the situation. You have to find a way to get them to open up about their needs, your options and your ability to help them. This is going to require you to determine their probability of getting their loan reinstated. It’s imperative to know the likelihood so you can tell them whether or not it’s worth pursuing or if it’s time to move on with their current situation.

Asking these three mistakes and many other ones lead to complications and delays, and without a good reason for your delay, it’s time to make changes with your loan modification forms. Being able to connect with your borrowers in a professional manner has to become your number one priority. Your satisfaction level should equal your client’s comfort level. You can work to the detail and satisfaction in every aspect. But if the level of satisfaction is too low, you can lose the chance of having your loan modification done. If the process is more complicated or time consuming than you anticipated, take a step back and work with your clients to help them take the next steps pertaining to the loan modification so you stay in touch with them.