Glossary
Loss Mitigation
A servicer's department and process for avoiding foreclosure through modification, forbearance, short sale, and similar tools. This is where real help lives.
Servicers are required by federal rules to give borrowers a chance to pursue loss-mitigation options before proceeding to foreclosure. Calling your servicer's loss-mitigation department directly, not their general customer service line, is one of the most important early steps in a foreclosure situation. A HUD-approved counselor can help you navigate this.
Read more in the Field Guide:
- Foreclosure Options: What's Actually Available, Foreclosure
Want a plain-language review of your situation?
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