The concept behind an auto loan modification, RV loan modification, mobile home modification, motorcycle loan modification and boat loan modification (a.k.a. ‘moving vehicle loans’) is fairly simple. With the economy in a state of constant flux, there are a great many individuals who are unable to keep up with their automobile payments. With bills getting harder and harder to pay, professionally negotiating an auto loan modification with the lender has become the saving grace for many automobile owners.
Moving Vehicle loan modification is similar in its process to home loan modification in order to keep those people who finance auto loans in good standing with their lender (and, in many cases, keeping those people from riding the bus!). These modifications are sometimes negotiated in order to allow the borrower to obtain simpler or better monthly payments on their loans without having their modes of transportation or other vehicles repossessed. Moving Vehicle loan modifications are way to keep people in their mobile homes or riding along in their vehicles with easy to make monthly payments so that they are not facing a foreclosure on their home or a repossession of their personal property.
Banks and financial institutions that initiate car loans or other types of moving vehicle loans are not usually in the business of selling vehicles; therefore they typically do not want to repossess a vehicle and often want to keep a person/borrower in their vehicle if at all possible. This means they are sometimes willing to entertain the idea of a loan modification when a borrower has hit upon hard times. The financial institution must resell these items in order to recoup some of the funds which they could not collect from the original borrower. What repossession or a foreclosure means for the borrower is a bad mark on their credit history, no matter the circumstances and this could lead to a situation where the borrower may not be able to secure financing on another automobile when the time is needed.
By working with the finance company or dealership, Bilu Law can go a long way towards keeping you in your vehicle, often without you suffering some of penalties for late payments or repossession. Naturally, any automobile owner will want to avoid going into any type of repossession or other type of activity that will damage the vehicle owner’s credit. In an attempt to salvage the individual’s credit as well as keep the automobile, the auto loan modification can make keeping up with the monthly payments far easier in the long run.
In times of economic hardship, it sometimes makes good fiscal sense to take advantage of these types of loan modifications in order to keep your automobile, motorcycle or boat and continue to make payments timely fashion. In many cases, the payments can be reduced or postponed in order to ensure that the automobile owner is able to catch up and make the most of the situation. In most cases, it's in the best interest of the finance company and automobile dealership to ensure that you are able to somehow continue to pay for the automobile that you have purchased.
For a free consultation on your particular moving vehicle loan modification, please call our office today.