Phoenix, AZ -- (SBWIRE) -- 06/05/2013 -- As with most official procedures, there’s a mortgage foreclosure process that people should understand in order to create a more favorable outcome for themselves. Credit-yogi.com is here to share its knowledge about this subject, including:
- Missed-Payment Notifications
- Notice of Default
- Notification of Foreclosure
- The Foreclosure Sale
Missed Payment Notice
The first of the mortgage foreclosure laws that must be conformed to by banks undertaking this process is that the homeowner must be sent a missed-payment notification. While most banks allow a ten-day grace period for a mortgage, if a homeowner is later than that consistently, it is within the bank’s rights to send out such a notice. This notification will inform him that he must make the payment within a specific time frame to avoid further action. If he does send the delinquent amount in upon receipt of the notice, it’s likely that nothing more will happen.
The next step in the mortgage foreclosure process is receiving a Notice of Default (NOD) from the mortgage holder. Usually, if a homeowner is more than 30 days past due with his payment, he will be given this Notice which tells him to pay what he owes… or else! Contained within the NOD will be the homeowner’s name, the property data, how much is owed, how long past due the payment is, and an official statement of default. There will also be a warning of further action, including foreclosure, if the delinquent payment is not paid immediately.
Mortgage Foreclosure Process-Stop Foreclosure Of your Home With Help Of Foreclosure Law
Another of the mortgage foreclosure laws is that, after the notices of missed payments and default have been received, the notice of foreclosure will be issued. The foreclosure notification informs the homeowner that the mortgage holder has initiated the foreclosure process and will schedule a foreclosure sale of the home at auction. The notice also includes the amount he owes, the interest rate, the lien holder’s name, and the contact information for the lien holder’s attorney.
Foreclosure Auction Sale
The final piece of the mortgage foreclosure process is the Notification of Foreclosure Sale. This comes on the tail of the Notice of Foreclosure if the homeowner cannot find a way to prevent the actual foreclosure. The home is put up for auction, and if no one bids on it, the bank gets it by default. Some states allow for a redemption period, in which the homeowner is given one more chance to keep possession of his home. Check online for the laws pertaining to the state in which one resides to find out about this.
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