How can I get a mortgage forbearance plan?

It has been easy enough to get a forbearance plan during the coronavirus pandemic. Under the CARES act, all a homeowner has to do is call their mortgage servicer (the company that processes payments), mention they’ve been financially impacted by COVID-19, and ask for payment relief.

How long can I extend my mortgage forbearance?

If you’re currently unemployed or in a position where you’re unable to resume monthly mortgage payments, you may be able to extend your forbearance plan for another 3-6 months. Can I get a forbearance extension?

How long does a covid-19 forbearance plan last?

If you request a COVID-19 forbearance plan on either of your U.S. Bank mortgages, we will extend that COVID-19 forbearance to your other mortgage or HELOC for 180 days.

What happens to your credit when your mortgage is in forbearance?

CARES Act rules state that mortgages in forbearance should not be reported as having late or missed payments. And the forbearance plan should not harm your credit score. But this is another area where mistakes can happen. “Sometimes there can be mistakes and issues with credit scores that can pop up around forbearance,” Kim says.

When to use a forbearance plan on a mortgage?

A forbearance plan temporarily suspends or reduces the amount of your regular monthly mortgage payment if a life event is expected to decrease your cash-on-hand in the near future. Most often, it is used in times of temporary hardship, like unemployment.

What happens when mortgage forbearance end in VA?

Mortgage forbearance end dates Under the CARES Act, homeowners with conventional, FHA, VA, or USDA loans could request an initial loan forbearance for up to six months. They could also request a six-month extension, for up to one year of total forbearance.

What to do after 180 days of forbearance?

After the initial 180-day payment suspension period, you’ll be able to either request an extension of your forbearance plan or resume making your monthly payments and select a plan to pay back the suspended amount. If your loan has already reached maturity, call us at 855-698-7627 to discuss the assistance options available to you.