Forbearance Agreement: Fill & Download for Free

No, unless you can arrange for a mortgage modification or a "forbearance" agreement.Definition of 'Mortgage Forbearance Agreement':An agreement made between a mortgage lender and delinquent borrower in which the lender agrees not to exercise its legal right to foreclose on a mortgage and the borrower agrees to a mortgage plan that will, over a certain time period, bring the borrower current on his or her payments. A forbearance agreement is not a long-term solution for delinquent borrowers; it is designed for borrowers who have temporary financial problems caused by unforeseen problems such as temporary unemployment or health problems.Read more: http://www.investopedia.com/terms/m/mortgage_forbearance_agreement.asp#ixzz1h02DLKSP

I made my first million dollars by betting on myself and risking everything! I was working for a coffee roasting company that happened to hit a financial crisis in the mid ’90s. The story is really involved but I ended up buying the company from my boss and owner for a small amount of cash (which I borrowed from a friend!), $50k and a five-year contract that paid the previous owner, if I survived! The business was in a serious amount of debt - about $7 million and almost $4 million was owed to a bank. The bank had to approve the transaction in order for me to purchase the business and I foolishly signed a very restrictive “forbearance agreement”. If you can avoid doing this I would strongly suggest you never sign one of these!I struggled for three years, paying the bank over $45,000 per month in interest just to keep the company afloat. I was limited to what I could pay myself and it was hell every single day. I gradually made changes that were difficult but necessary and the business slowly started to turn around. The building that I was renting (also from the previous owner) was taken eminent domain by the City of Boston in 1998. So for two years I fought with the City to pay for me to move my business to another location. I was conducting these negotiations with the City basically teetering on the verge of bankruptcy. One footnote: You can’t collect any money from eminent domain unless you are a “going concern”. So not only was I up to my ears in debt, I was simultaneously negotiating with the City acting like my business was booming! If I declared bankruptcy I was completely ruined. I would have lost not only the business but my house and everything I owned. Everything was on the line. Talk about staging the ultimate shell game!After two years of extremely tough negotiations I settled with the city and collected $3.5 million! I moved my business successfully, negotiated settlements with all of my creditors and from that point on I was debt free! The business flourished and I was making nearly $1 million a year in salary from that point on. When I think back on that period in my life I have often thought about writing a book about what actually went on during that period. It was truly an incredible set of circumstances that thankfully turned out great. Spending every day for two years trying to keep afloat was one of the most challenging things I have ever been through. Once I came out of that tumultuous time I definitely had a unique view of business and life.

If you pay late,the chances of getting a lender to agree to renegotiation greatly increases. Lenders have entire departments dedicated to renegotiating terms.You can agree on a forbearance agreement that will make your mortgage payment achievable for a certain period of time before it reverts to the original terms.