Forbearance Plan: Your lender may allow you to reduce or suspend payments for a short period of time and then agree to another option to bring your loan current. A forbearance option is often combined with a reinstatement when you know you will have enough money to bring the account current at a specific time. The money might come from a hiring bonus, investment, insurance settlement, or tax refund. The most common forbearance arrangement involves a repayment plan, in which you agree to resume making your regular monthly payments, plus a portion of the past due payments each month until you are caught up.

Loan Modification: If you can make payments on your loan, but don't have enough money to bring your account current, your lender may be able to change the terms of your original loan to absorb your delinquent payments and make the payments more affordable. Your loan could be permanently changed in by adding the missed payments to the existing loan balance, changing the interest rate or making an adjustable rate fixed, or extending the number of years you have to repay your loan.

Short Sale: If you cannot bring your loan current, afford to make payments moving forward, or you can't sell the property for the full amount of the loan, your lender may accept less than the amount owed as full payment, and FORGIVE your debt in its entirety. If your loan is at least 30 days delinquent, your lender can work with a Certified Program Representative (CPR) to negotiate the sale your house and forgive your debt according to the terms outlined in The Mortgage Debt Relief Act of 2007.