Fix style in the Hardship Letter

Aug 6th, 2022
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How to fix style in the Hardship Letter

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[Music] hello guys welcome back to my channel writing practices today we are going to learn how to write a hardship letter for loan modification what is a loan modification hardship letter a hardship letter for loan modification is a personal letter written from you to your lender explaining exactly what event or circumstance has caused you to fall behind on your mortgage and why you are not able to continue making payments here writing practices will show you how to write a hardship letter for loan modification step by step check this out the very first thing to write is your personal information here you need to write your full name under it write your home address when you write the address it is necessary to include the number street name city state and zip code and you can also provide your contact information like phone number or email address for the next write the date of the letter here most formal letters use the format of month date and year in this example is December 2nd 2

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Hardship Examples Illness or injury. Change of employment status. Job Loss or loss of income. Natural disasters. Divorce. Death. Military deployment.
The first step to prove hardship is to show your lender how much income you have and how much you spend on your essential living expenses. You will need to provide copies of your pay stubs, bank statements, tax returns, and bills for utilities, insurance, medical, and other necessities.
I am writing this letter to request assistance with my personal loan during a time of financial hardship. Approximately two weeks ago, I was let go from my job due to company-wide layoffs. As a result, I have been unable to continue making regular payments on my loan.
Acceptable Documentation Lost Employment. Unemployment Compensation Statement. (Note: this satisfies the proof of income requirement as well.) Termination/Furlough letter from Employer. Pay stub from previous employer with.
Focus only what has currently happened and how that has impacted your ability to make the payments. List what you have done to try to resolve the hardship. For example, you reduced your expenses, picked up a second job, etc. Explain why you need help from the lender to avoid default.
As a Federal Employee my income has been reduced by 20% per pay period. I am now experiencing financial hardship due reduced income. Because my income has dropped considerably I can no longer afford the terms of the original loan.
[Explain what caused you to fall behind.] We fell behind on our mortgage payments due to loss of income because of a lay-off. We had a very hard time dealing with our debts because we never had financial problems before. There are so many expenses, and managing a home and family of 5 is hard.
Lenders may ask you for evidence of your hardship, like a doctors certificate or termination notice. Lenders may also ask for bank statements and evidence of income. They may also ask for a money plan or an income and expenses form. A free financial counsellor can help.

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