It has been reported in the media that in as many as half of all home foreclosures - the homeowner does not contact their lender! 

  - You have to contact your lender, although it may be embarrassing and not the most comfortable position to be in, people have to remember that the bank does not want to own your house, and for the most part will try and help in the situation.  Contact them by phone, email, fax - whatever it takes -

MAKE CONTACT

Secondly, it may be advisable to refinance.  It is still a competitive market out there, and you may be able to refinance at a more competitive rate if you shop around.

It is also advisable to get a copy or copies of your credit report from the credit reporting agencies.  Many will provide this information free-of-charge once a year through the mail if it is requested.  This is the main tool used by lenders to determine your credit-worthiness.  Deal with any erroneous information by talking to the credit agency; they will investigate on your behalf.  We will go into farther detail on this subject in a future update.