What is the difference between forgiveness and forbearance? Simply put, forgiveness is the elimination of debt, while forbearance is the act of putting off payment, though interest does accrue.
When dealing with forbearance, be clear about whether your service provider or lender will require the full amount due at the end of the forbearance period or if they will add it to the end of the loan. Either way, pay what you can along the way in order to lessen the blow of a lump sum when the time comes.
Look for a short sale scenario video in the future to hear what happens when the amount owed exceeds the value of your property.
If you have any questions about loan forgiveness or forbearance, contact us by calling (781) 319-1900.