Some homeowners who have been unaided by J.P. Morgan Chase and the federal Making Home Affordable Program have turned to bankruptcy, but it’s important for homeowners to remember that simply because a home loan modification is not offered does not mean that they have to go to extremes such as bankruptcy or resign themselves to foreclosure. While there were some changes in the number of total bankruptcies J.P. Morgan Chase has seen for homeowners who did not qualify for a federal home loan modification plan, this does not necessarily mean that this particular foreclosure prevention route is the only road that a troubled homeowner may be able to take.
When it comes to bankruptcy though, J.P. Morgan Chase homeowners who were not accepted for a trial modification did increase between April and May of 2011 as the number of bankruptcies in process after these homeowners were not accepted for a trial modification increased from 4,838 to 5,202. Yet, when it comes to the program total amount of homeowners who fell into bankruptcy after their trial modification was canceled with J.P. Morgan Chase, this number decreased from 799 to 781. This information made available by the Treasury Department also mentions that homeowners not successful in the modification program may find alternative modification plans, alternate payment plan arrangements, or homeowners may find themselves in a situation where there offered a short sale, are facing foreclosure, or even become current on their mortgage payment.
All of these potential results are part of the modification program, as each homeowner’s situation will differ from one to another and may require something beyond a home loan modification plan to meet their needs. J.P. Morgan Chase homeowners are in positions where they may potentially have options like forbearance plans for those who are unemployed or in certain states where the Hardest Hit Fund is in place there could be opportunities available to help these homeowners with specific problems that may range from delinquency on their mortgage payment to issues like negative equity on their home loan.
It goes without saying, homeowners with J.P. Morgan Chase or any other financial institution are not guaranteed success when it comes to a modification program, even if any of these homeowners may be able to qualify for either a federal or private home loan modification, but homeowners do need to remember that there are options that go beyond a simple modification plan or their servicer may have in-house assistance programs in place as well that could help these men and women find the foreclosure prevention aid they require. Yet, homeowners may also qualify for options like a short sale if negative equity and affordability are a problem, as some programs may offer homeowners assistance when it comes to relocating to a new living arrangement after they have been unsuccessful at finding an affordable solution to their home loan payment needs.
While Chase is one of the banks that participates in many of the federal HAMP initiatives, homeowners are always urged to explore a variety of options that may be offered as soon as financial problems arise so that they can better understand what all opportunities are available, whether or not they qualify for certain programs, and if one of these foreclosure prevention plans will be needed homeowners should give themselves time to go through the process so that their situation will not deteriorate while attempting to qualify for help.