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THE FORBEARANCE FAILURES OF 2021

What the banks are doing… and the steps you need to take right now to save your home.

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“He could have lost his home after he took out a federally approved mortgage forbearance.”

– King5 TV Investigation

Frequently Asked Questions

  • A partial claim is the tool that FHA uses to help you transition out of a COVID forbearance. A partial claim allows FHA to take the amount that you missed during your forbearance plan (your arrears) and make it due at the maturity date of your loan (instead of being due immediately).

    The partial claim reflects your total arrearages and gets essentially “added to the end of the loan.” The amount becomes due only when the loan matures (or when the home is sold or refinanced) but otherwise, you don’t make payments toward the partial claim immediately.

    A partial claim does not collect interest or fees.

    Getting a partial claim allows you to move forward resuming your regular mortgage payments without having to pay anything toward your missed payments until the maturity date of the loan.

  • A deferment or deferral is the tool that Fannie Mae and Freddie Mac use to help you transition out of a COVID forbearance. A deferment allows your investor to take the amount that you missed during your forbearance plan (your arrears) and make it due at the maturity date of your loan (instead of being due immediately).

    The deferral reflects your total arrearages and gets essentially “added to the end of the loan.” The amount becomes due only when the loan matures (or when the home is sold or refinanced) but otherwise, you don’t make payments toward the deferral immediately.

    A deferral does not collect interest or fees.

    Getting a deferral allows you to move forward resuming your regular mortgage payments without having to pay anything toward your missed payments until the maturity date of the loan.

  • These options are very similar and have the same impact on the loans they’re applied to.

    The main difference between the two relates to the terminology used by the investor. FHA calls these agreements “partial claims” and Fannie Mae / Freddie Mac calls the agreements “deferral options” or “deferments.”

  • A loan modification is a new agreement written to help bring a mortgage current when there are missed payments. It is one of the options offered as a way to help people transition off of their COVID forbearance plans.

    Loan modifications are used so you can resume making mortgage payments without having to pay all the payments you missed during your COVID forbearance.

    A loan modification typically involves an extended term, a reduced interest rate and a slightly lower payment than your original mortgage payment.

  • A repayment plan is a way for you to get current on your existing mortgage if you have missed payments. If you are offered a repayment plan as part of a COVID forbearance transition, the bank is usually asking that you resume your regular mortgage payment AND pay an additional monthly amount on top of your mortgage payment each month until you’re current.

    Once you have paid off the amounts you missed during your COVID forbearance plan, your monthly payment reverts back to the original payment and you stop paying the extra amount each month.

    Repayment plans often require high payments and are usually considered unaffordable by people transitioning off of a COVID Forbearance.

  • A loan modification creates a NEW agreement and a repayment plan is an agreement to become current on the original mortgage. A loan modification usually allows monthly payments to resume at their normal amount (or a little bit lower) while a repayment plan usually requires high payments (a normal mortgage payment AND some extra every month).

  • A reinstatement is the process of paying back everything you missed during your COVID forbearance at one time, immediately. If you do this, you cure your default and reinstate your mortgage. Then, your monthly payments resume at their normal amount.

Nadia Kourehdar, Foreclosure and Mortgage Attorney

“In your free Forbearance Relief Consultation I’ll help you understand your options and we’ll create a personalized plan of action for you.”

Nadia K. Kilburn (Kourehdar), Foreclosure Attorney

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See What People Are Saying

Based on 15 reviews.
Larry Tusten
Larry Tusten
September 30, 2021.
Verified
Very helpful and friendly. She was very easy to work with. She saved my home highly recommend her services
frances starr
frances starr
March 16, 2021.
Verified
I have retained the services of Nadia Kourehdar for several issues with my mortgage company. She is always professional and follows up in every way to protect her client's interest. I would use her services again if the need arises without hesitation.
Joe Gregg
Joe Gregg
January 22, 2021.
Verified
I discovered a $125,000 problem, Nadia did a review, informed my judgement and within 30 days provided a path to settle for $10,000. Competent, efficient and a great communicator.
Ava Gardner
Ava Gardner
December 29, 2020.
Verified
Nadia was our attorney for foreclosure and we felt like we were drowning with letters and intimidation from the mortgage company. We got in touch with Nadia and that was the best decision we made. She was very professional and had a lot of knowledge about foreclosure she helped us immensely and after she got our home back I could not stop crying and was sooooo grateful for her help. Nadia is a very kind and caring very helpful person in law that I have ever met. Please consider Nadia for your property laws you will not go wrong.
Michael McClurkin
Michael McClurkin
December 22, 2020.
Verified
Nadia was instrumental in the negotiations to save my home before there was a plan to prevent the the loss of it during the early stages of the pandemic that we are still experiencing. She walked me through the process and provided legal counsel every step of the way. I would highly recommend her for anyone who needs assistance.
Lisa Maxwell
Lisa Maxwell
December 22, 2020.
Verified
Nadia was the best combination of professional and compassionate. I felt informed and cared for throughout out the time she supported me. She was very knowledgeable and helped me not only understand each step of the way, but feel comfortable with decisions being made.
Bob Davis
Bob Davis
December 20, 2020.
Verified
I cant speak highly enough about Nadia's professionalism, knowledge and communication. She is outstanding at her job. You couldn't ask for a better person to represent you in a difficult situation. She will always have your best interest in mind.
Bruce Olson
Bruce Olson
December 18, 2020.
Verified
I was looking for knowledge, hard work and effectiveness. She was all these things.
Mary Maier
Mary Maier
December 18, 2020.
Verified
Nadia has been really great to work with! I also had a deadline time. She was great working with my deadline time. Even when the contract done I have had questions. She helped me with them. I am very blessed I hired her. I have done loan modification myself. We are on social security disability and L& I. I wasn't sure what to do. L&I income a lot different. So I needed help. Anyone on disability and incom going down needs help. Money wise she works with you. Very pleasant and very easy to work with. Thanks Nadia for all her help!!🌹🌹🌹
Brian Price
Brian Price
December 18, 2020.
Verified
My name is Brian Price and Nadia was my for closure attorney. She was extremely beneficial to me through out the entire process. I feel she absolutely had my best interest in mind . She was very reassuring, and at the same time very frank . Nothing was sugar coated which I really appreciated . I would highly recommend her services to anyone facing for closure . Brian Price

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