Not enough money? Mortgage can wait

Entered into a loan agreement for the mortgage, the borrower is always thinking about the good - the new home, cares about pleasing arrangement of the house. The bank just in case expect the worst and are assessing how to get your money back if the borrower fails to repay the loan. Such is their job. If you do not protect themselves from possible risks in a crisis situation the bank will have no money, and his staff - a job. That's happened to fall in the U.S.. Anyone who takes the credit, is not immune from trouble or misfortune. You can get into an accident, be laid up with heart attacks, to be in hospital for several months, become disabled. Clearly, in such a situation, not everyone will be able to withstand the schedule of payments on the loan. And irreparable happens: people are killed or dies for any reason. His family is left alone with the bank in which laid flat. Road insurance unfortunately these cases are very tragic, but at the same time the least problematic in terms of consequences, because it is such a situation provides insurance that the borrower draws simultaneously with the credit. Payments are made on it mostly in favor of the bank. Only if the balance owed at the time the insurance reimbursement is less than the amount of on-the premium, the difference will be given to the borrower. In case of death or disability (or very long term) insurance company agrees to pay the bank the remainder of his debt or portion of this debt (if the disability is found to be temporary, and after some time the borrower will be able to extinguish the loan itself). House, respectively, remain the property of the borrower or his family. "The insurance protects the property interests of all participants in the mortgage transaction: and the creditor and the debtor (co-borrower if any), and the guarantor, and their families", - says head of the center of an integrated financial risk insurance company ROSNO Vitaliy Us. By the way, some banks are more - require life insurance and health not only of the borrower, but also all members of his family - wife and children. After all, has happened to them in serious trouble, the borrower will inevitably have problems with money. If there was a problem with an apartment, for example, there was a large fire, the material position of the borrower may also be affected. But there will come to the aid of insurance. "According to the legislation on mortgage, real estate, is the subject of collateral required is insured against the risk of loss (death) or damage" - explains W. Vc. The insurance company will repay the bank debt balance for the borrower. Of course, the ashes do not particularly want to be happy for a bank that does not lose in such circumstances. Borrower with no insurance will not pay. But stay with nothing on his neck with a loan would be much sadder. Make time to get an insurance payment, you should contact your insurance company, a statement that the insured event occurs. Of course, you will need to present documents proving that you really do accident happened and that it is included in the list of insurance as specified in the contract. From these documents should be clear what the size of the loss. The list of documents is defined in the insurance contract. "Insurance payments for property insurance at the rate of losses incurred by private insurance - at the rate established by the insurance sum", - says Vladimir Us. The insurance company takes the money to the bank for debt the borrower based on the certificate that specifies the size of its loan obligations. If a borrower has failed to provide the insurance company all the necessary documentation, insurance will not see him. True, if the lack of documents on which the calculated amount of damages actually count on a certain average amount of insurance payment, a specialist insurance company. The contract specifies other circumstances under which payment for the insurance does not shine. For example, if we find a deliberate deception of insurance companies in the contract: providing false information about the insured person, forged documents about health or about the property, especially on the redevelopment, construction works, the existing claims, claims by third parties, etc. Before pay back the money, the insurance company will thoroughly check the validity of the statements - whether insurer has suffered damages and is it true to compensation need to provide them the amount. Similarly, the insurance should pay damages in case of destruction of homes. ROSNO, for example, brings in an insurance contract, even such a risk as property damage if dropped on your house aircraft - the direct influence of the body or parts of the airframe, cargo or other objects falling from the aircraft, as well as the influence of air- shock wave caused by the movement of aircraft in the fall. Of course, not all uchtesh, so in every insurance contract there is a point of force majeure, upon the occurrence of which rely on compensation for damage to occur. For the consequences of falling meteorite, accidentally flown into a ballistic missile or an invasion of termites mutants, eating solid walls, the insurance company is not going to respond. Unfortunately, from all afflictions not zastrahueshsya. Sick, if not the borrower, his parents, a favorite nephew, there are problems with the borrower or his spouse. Life, alas, is inventive and generous to some nasty surprises. Thus, problems with repayment of the loan. In this situation, the main thing - do not panic. There are a few things to remember. In many cases, banks are sensitive to the problems of their clients, but only if they report the difficulties encountered quickly and honestly. "Above all, the borrower must notify the bank of the problems - explains the deputy chairman of the bank" Home Credit "Vladimir Gasyak. - In this case, his actions will be characterized as a delay in payment, not as a denial of credit obligations. " Better bitter, but the truth is in practice likely to be that your problem does not concern anyone. Message that the payment is not made in time for whatever reason, if it is not considered an insured event could cause a bank clerk and a storm of indignation, and lingering farewell to try to find the means and not to delay payment. So much for the delay in one payment. When it comes to non-payment on a mortgage, banks are responding no greater example than in the case of consumer loans. If the latter is permissible almost with impunity, "Dynamite" by six months, then with respect to the mortgage it will not work. Patience bank collapses after three or four months, he's got his hands on a powerful trump card - the right to sell mortgaged properties. "With good credit history, we are ready to consider the borrower's application for deferment of payment of principal payments for up to six months", - says head of consumer and mortgage lending Swedbank Anita Berzina. This is the most popular option: the borrower for the period of their difficulties is permitted to put out only the interest. Then he either makes missed payments within the specified period with the bank, or restructure its debt - increases the size of monthly payments or extending the duration of repayment. "The decision on restructuring of debt is taken individually, - said V. Gasyak. - In each case, the bank identifies the potential resumption of payment and provides a schedule of payments. Banking practice shows that usually does not exceed a period of restructuring six months. " Ways in which we choose is important that the financial crisis to erupt into a crisis of confidence on the part of the bank. The client has a significant time delay payments on the loan? Most likely will not give concessions. The Bank may refuse to delay, if experts are skeptical that the client improve his financial affairs, not later than six months. In addition, not every bank practice installment or deferred payments. It may be that wait longer than two or three months, the lender will not. In the event of financial difficulties it is important to soberly assess the scale of the problem: figure out how your personal protracted default, honest to yourself - it's an unexpected combination of circumstances or natural result of the attitude toward life? Depending on the findings need to choose one of two ways. If you believe that the problems solved by short-term and not afraid to miss a couple payments. At the same time try to negotiate with the bank if the credit history you have a good, a couple of months of nonpayment, apparently, look through your fingers. "If necessary, our client, in writing, explain the reasons for its insolvency, then the parties will jointly try to find a compromise solution, beneficial to all participants," - explains the head of the block, "Mortgages" Alfa Bank Ilya Zebari. Another option - running out of control. Of the bank will call or write to find out what happened, but two months before that, probably will not come. Of course, then have to pay all missed payments, taking into account accrued interest and penalties. So in this situation, each acting according to their habits - comes under the rules set by the loan agreement, or hopes to "maybe". If problems are prolonged, and the borrower is not sure that would be able to quickly restore their solvency, it is better as quickly as possible to notify the bank about the situation. There's a first offer on their own to sell the mortgaged house to return the balance of the debt. Permission for the sale, as a rule, make out without delay, may even help sell the apartment through the "" real estate companies. The bank is interested in the speedy return of their money to the portfolio is not "hung" low-quality loans. Borrower is also disadvantageous to delay the sale of the pledge, as debt is growing daily due to penalties. In addition, engaging in the sale of housing on their own, an apartment owner to gain for her a large sum than the bank in the implementation of the pledge. Incidentally, banks usually appreciate a frank recognition and willingness to meet the client, thereby eliminating the hassle of a creditor with the realization of collateral by the court. Parting amicably, this client will be offered to return if his financial situation better and to get a mortgage again. "We had a case where the borrower is understood that fail to satisfy a greater amount of the loan, sold the house and immediately went to the bank for a mortgage loan less," - says the Deputy Director of the Center Absolute Mortgage Banking Elena Voronina. Run on the bank - a punishment, however, not all clients are in trouble are often responsible. While subprime borrowers are characterized by high political consciousness, in a critical situation, some lose their head and do foolish things. "By a malicious non-payers banks include people who have a long time to get in touch with the bank, do not fulfill their pledges, provide false information, and are not interested in online problem-solving" - lists W. Gasyak. Told them that hiding from the bank in this case - a dead end road. After waiting for several months without receiving from the client intelligible explanation for the non-payment, the bank will give him in court. And there already make a decision on the implementation of a pledge to repay the debt. Apart from the purely moral discomfort of visiting ships and unpleasant to communicate with the bailiffs malignant defaulter along with their homes and lost a decent portion of its value. "If the bank sells real estate, it is sold at a liquidation price, which is usually 20-30% below market", - stressed A. Berzins. Accordingly, the landlord will get his hands on the difference between the amount of debt to the bank and the proceeds from the sale of the apartment to the amount that is much less than if he sells itself. If in this situation to him at all that something will get ... Besides credit history will be irreparably damaged - I get a new mortgage will then be virtually impossible. Olga Bazanova Marketing Director Delta Credit Bank: When a mortgage borrower is unable to make payment in time to repay the loan, he should immediately report this to the bank. We understand that in life anything can happen, so willing to work with each client, who find themselves in difficult financial situations. The main thing is that he actively cooperated with us in finding mutually beneficial outputs. Universal method for solving the problem is not: in each case developed a personalized plan of action, which depends on such factors as the credit habits of the borrower, his credit history, etc. One way - a temporary reduction of monthly payment to a size that is acceptable in the current financial situation. But the delay in payment - it is not profitable, because then it will result in huge monthly amount. Vyacheslav Panteleyev Head of Credit Operations Center tracking mortgage Binbanka: When a borrower is unable to pay on the loan, he should contact the bank and write a statement of the situation and proposed solutions. Bank, as borrowers do not need a credit problem, so he is interested in resolving this issue. According to the results of the application may be taken different measures: nenachislenie penalties for delay granting a delay in payments on a loan or debt restructuring with the design of the new payment schedule. In the event that the borrower will be hidden from the bank or not able to resolve the issue with the bank, after a certain period, usually within one month, under the terms of the loan agreement, the bank appears right of early vindication of credit and foreclosure of the mortgaged property. The question of the postponement is decided on an individual basis, because the causes of arrears are unique. It is necessary to consider the problem of each individual borrower separately to determine the nature of financial difficulties, their expected duration, and only then identify options to resolve the issue. Source: M2 - square meter, by Olga Senatorova