Avoiding Foreclosure

The On the Money! podcast recently did a segment on rising foreclosure rates and how to avoid foreclosure. Steve Pomeranz and real estate expert David Levin discussed steps to take when facing foreclosure. Mr Levin suggests the following steps:

1. Take stock of your current situation and
2. Call your mortgage company to discuss workout options

You might be suspicious of your lender, but it's in everybody's best interest to help you avoid foreclosure. Before you call, take Mr Levin's advice and write down your income and expenses, and figure out why you got into this difficult position. With that information, you and your lender can figure out the options.

Further reading:

• Download the On the Money! show (MP3 file)
• More on the On The Money! Podcast
• How Debt Workout Programs Work
• Figure out your financial position with About.com's Personal Finance resource