Mortgage hardship letters are written in the event that a borrower is unable to meet his payback obligations. The word “hardship” signifies a problem that the borrower may be going through (usually a financial worry) that has transpired in him making late payments or no payments at all.
The purpose of a mortgage hardship letter is to provide the lender with information on why the borrower is unable to pay back his mortgage. There can be many reasons for this; a divorce, a layoff or even health issues which may have kept the borrower from earning enough to make mortgage payments. A letter of this type can be useful if you want to buy some time during which you can make arrangements to pay your loan back.
A mortgage hardship letter has only one tone – bordering on desperation. It is actually a plea to the lender so it has to have all the facts about why a certain payment or a series thereof have not been made. The sample mortgage hardship letter below can give you an idea of how this can be written:
Mortgage Hardship Letter Sample
January 6, 2015
Ms. Linda Logan
Mortgage Officer
ABC Capital Corp
87 Brant Road
Georgetown, KY 91827
Dear Ms. Logan:
My mortgage number with ABC Capital Corp is 66273-111. This letter is to explain the situation which has resulted in late mortgage payments from my end. Due to unforeseeable circumstances, I was unable to pay the last three installments of my mortgage.
As my account record shows, I have been diligent in my payments since the first payment in January
2013 and have never given you cause for complaint before. However, my son Joshua was in a terrible car accident in November 2014 – he was hospitalized for 6 weeks with severe injuries to his legs and back. Since my insurance only covered the hospital stay, I had to pay for his surgeries and medication out of pocket which has left me short to a great extent. This is why I was unable to pay the last two mortgage payments.
Had this unfortunate incident not occurred, my account would never have fallen behind. I would now like to bring my account to current and need your assistance with it. If you can possibly amend the payback term and amount so that I can meet my obligations, I will be very grateful. If there is an application that I need to fill out at my end, please let me know.
I look forward to a prompt reply from your end. Thank you very much.
Regards,
Courtney Galloway
Client ID: 66273-111
146 Carter Drive
Georgetown, KY 91726
(000) 888-6543
Courtney @ email . com