Description
Learn how to differentiate between loan modification and forbearance agreements to ensure the best option for your clients.Oftentimes, a loan modification or forbearance agreement may be the solution to a borrower’s default, whether caused by a temporary or permanent solution. This topic will distinguish the two and provide insight as to which one is better suited for a particular situation and what provisions should be included, and will also provide servicers, attorneys and investors with an understanding of the litigation issues that may thereafter arise should the borrowers default after executing the forbearance agreement, such as loss of priority, statute of limitations issues and consumer protection laws.
Date: 2020-10-15 Start Time: End Time:
Learning Objectives
Distinguishing Forbearance Agreements From Loan Modifications
• Loan Modifications Are Permanent; Forbearance Agreements Are Temporary
• Forbearance Agreements as Trial Modifications
• When Are Consents From Subordinate Lien Holders or Guarantors Required?
• Clearing Title While Forbearance Agreement in Effect Prior to Entering Into a Loan Modification
Forbearance Agreements Can Be Entered Into Before or During Foreclosure Action Commenced
Dual Tracking Prohibition Against Entering Judgment If Borrower Is Complying With Forbearance Agreement
Acknowledgments
• Ratification and Confirmation of Loan Documents
• Acknowledging Total Amount of Debt Including Interest, Late Charges and Legal Fees and Costs
• Acknowledging Debt and Expressing Intent to Pay
• Estoppel Certificates
Providing Remedies for Subsequent Default
• Notice Requirements
• Proceeding Ex Parte
• Cancelling Forgiveness and Proceeding With Foreclosure
CLE (Please check the Detailed Credit Information page for states that have already been approved) ,Additional credit may be available upon request. Contact Lorman at 866-352-9540 for further information.
Peter T. Roach, Esq.-Roach & Lin, P.C.
