A “loan modification” is a permanent change to the conditions of a mortgage. Most of the time, this involves lowering the borrower’s monthly payments. Loan adjustments are extremely common, especially in Fannie Mae or Freddie Mac mortgages, FHA-insured mortgages, and VA-backed mortgages. The servicer may cut the interest rate, convert the loan to a fixed…

Debt is a serious issue in the United States and can lead to severe financial hardship for individuals. Many people wonder if it is possible to go to jail for debt. The answer is no—there is no such thing as debtors’ prison in the United States. However, there are certain circumstances in which debt can…

People who are considering bankruptcy may feel out of options. It’s not the only option, though, and is generally seen as a last resort. Several other debt relief options are available to those facing severe financial distress.  Other options include debt consolidation, debt settlement, and credit counseling. Each has its pros and cons, so it…