Take the flip flop approach to Credit (Part 1)

I find too many home owners, waiting too long to find solutions to their mortgage issues. The days of wearing flip flops and relaxing at the beach are long gone or are they.... well maybe if you live in Michigan ... snow right now! lol Most important, if youare headed in trouble, don't burry your head in the sand either.

Here are the first 3 steps I would recommend you do.

1. Talk to someone! You might be surprised at how others are in the 'same bo at' as you and have crossed some bridges that will make it easier for you. I ran across a great article on MSN MONEY that might be of some help as well.
2. Seek true professionals! Research everyone you are talking to. If a friend or family member gives you advice, even though they may mean well talk to their source. You may find out more information that doesn't apply to your own situation or other info that is truly a find. Even the so called 'Credit Counseling Agenices' are not all the same. Make sure you find one that is a member of the National Credit Counseling Organization
3. When talking to your lender, credit card companies, utilities ALWAYS get their full name and department. Some even have an ID number. I have found many times that even though clients have spoken with someone, those notes were never added to their account and the results were not pretty. Get fax, extension, email addresses and mailing address in case you need to reach them another way. This has proved to be very helpful when THEY don't return calls. Not like that every happens. lol
   

There are many programs in place to help, as well as most lenders and creditors are more than willing to work things out. However, depending on who it is and how they work will be the key to the process. When you talk to a friend and they said they called their credit card company and they gave her a rate reduction you need to ask these types of questions: 1) who is the company, 2) was she behind 3) is this sort term 4) was she going to close the account.

Funny thing is, one company is not like the other and there are many options if you are behind for most companies. They want to work with you than, not before. Also, if you are leaving .... they want to keep you and will pull out all the stops. I have even got one of them to match a payment of $150 plus reduce all my fees and lower my rate.

So, while you are waiting to get out those flip flops again and wonder if your credit will ever be the same, if the stress from all this will be over soon. As the seasons change your credit and stress will too. Take heart, your credit only matters here on earth, it won't stop you from getting into heaven, I would bet good money on that!

All rights reserved by Charlene Hammontree of jgr real estate. Article for informational purposes and not guaranteed to be accurate. It is highly recommended to seek legal advice on all real estate matters.