Forbearance Plan/Mortgage payment deferral

[michaelbsf]

Some banks offer Mortgage payment deferral programs. What are the pros and cons of using those programs?
What proof do I need to provide to the lender? They say that I can apply before this situation started, but what if I don't have any proof yet.
At this moment I have some emails at my work stating that we may have salary reduction and temporary furloughs depending on the situation withing next 1-2 months.

[waltworks]

Might want to ask the lender, not us.

-W

[powskier]

I am out of work because of Covid 19. I called my lender, pretty quick and easy to ask for forebearance for home mortgage. No credit reporting, agreement on good faith, discussion to be had with them in 3 months in regards to paying back lump sum/tacking it on end of mortgage/making payment plan.

Commercial lender on our rental is requesting P&L statement and letting them know after the first which/if tenants are paying rent, said he would look into refinance or restructuring current loan.

We are not sure what the future will bring but it seemed like getting some breathing room real quick would be helpful.

Before anyone asks : Blew through our 8 month emergency fund 3 months ago in 2 emergencies...life happens.

[Dicey]

I am out of work because of Covid 19. I called my lender, pretty quick and easy to ask for forebearance for home mortgage. No credit reporting, agreement on good faith, discussion to be had with them in 3 months in regards to paying back lump sum/tacking it on end of mortgage/making payment plan.

Commercial lender on our rental is requesting P&L statement and letting them know after the first which/if tenants are paying rent, said he would look into refinance or restructuring current loan.

We are not sure what the future will bring but it seemed like getting some breathing room real quick would be helpful.

Before anyone asks : Blew through our 8 month emergency fund 3 months ago in 2 emergencies...life happens.

Ouch!

[kenmoremmm]

lumping onto this thread. here's what Chase's website says in their terms and agreement:

Home Lending Terms & Conditions
You must read these terms & conditions carefully.
Here's how this relief program will work once you are enrolled:

• If you are able to continue making payments, please keep making them.
  If you need to delay up to 3 monthly payments:
  Please stop any automatic or scheduled payments, including from any non-Chase accounts.
  We won't charge late fees.
  We won't report negative information to the credit reporting agencies from your participation in this program. This doesn't change any previously reported information, including delinquencies.
  We will suspend all foreclosure activity.
  

When the relief period ends, these payments will be due. We'll be in touch to explain possible options that may be available for you to repay these amounts.
If you applied for other mortgage assistance from us and your loan is current, we will cancel that review so you can take advantage of this relief program.
If you are in bankruptcy, please talk to your attorney or trustee about participating in this program.
Please print this for your records.

i'm curious about the "possible options" to repay. any thoughts as to what those might be?

[waltworks]

Most likely they will roll the missed payments/interest into the existing loan and recast, or something along those lines.

-W

[kenmoremmm]

on other commentary i've seen elsewhere, people suggest that the missed loan payments would just be added onto the end of the loan, extending your duration. that option, well i guess either option, seems like it would be very beneficial to the DPOYMC people.

[Dicey]

on other commentary i've seen elsewhere, people suggest that the missed loan payments would just be added onto the end of the loan, extending your duration. that option, well i guess either option, seems like it would be very beneficial to the DPOYMC people. anyone who needs mortgage relief due to the Coronavirus pandemic.

FTFY