In Kansas, certain circumstances prevent lenders from seizing properties included in a mortgage loan immediately. These circumstances relate to new federal laws that protect consumers from predatory lending practices. These practices are derived from extending loans to consumers who cannot afford them. They also apply to military families. The following is a list of commonly asked questions about Foreclosure in Topeka KS.
Can the Consumer Reduce Their Interest Rates and Modify Their Mortgage?
The Making Homes Affordable Program assists consumers in achieving better interest rates. Their attorney evaluates their mortgage contract to identify any practices that didn’t follow new federal laws. For example, if a lower and more affordable interest rate was available to the consumer, the lender must provide this rate through a modification. This step allows the consumer to transfer any delinquent payments toward the end of the mortgage. It also forces the lender to make adjustments based on their new interest rate.
Does the Consumer have the Legal Right to Initiate a Short Sale?
The consumer must discuss this possibility with their lender before starting the process. The sale cannot be completed unless the lender surrenders the title or deed. The lender will not offer the deed unless the debt is settled entirely. The consumer makes arrangements to pay off any outstanding balance owed to the lender to achieve this objective.
Are Military Service Members Protected Against Foreclosure?
Yes, under the Servicemember’s Civil Relief Act, a lender cannot foreclosure on a property owned by military personnel if they are deployed. The lender must give the service member the opportunity to settle any outstanding payments first. They cannot seize the property if the service member is on active duty or deployed out of the country. This act gives service members the opportunity to serve without the risk of losing their home.
In Kansas, consumers acquire protection against foreclosure based on new federal laws. These laws apply to predatory lending practices and measures that cheat consumers out of their property. The laws protect all consumers including military personnel against unethical lenders. Consumers who need assistance with Foreclosure in Topeka KS Click here for information or an appointment.
