FINANCIAL HARDSHIP CENTER

You received this Application because we have not received one or more of your monthly payments and we want to help you. We are sending this information to you now so that we can work with you to quickly resolve any temporary or long-term financial challenge you face to making all your late payments.

Yes, all sections of the application must be filled out in order to review your situation. If any section is left blank a representative will be reaching out to request that it be filled out and the review process will be delayed.

Documents should be no older (dated) than the past 90 days. With exception of the following: tax returns, lease agreements, death certificates/obituaries, divorce decrees/separation agreements or evidence showing separate addresses related to divorce, dissolution documents evidencing closure of business, bankruptcy notices or for employment transfers: active military service members: Permanent Change of Station (PCS) orders or letter showing transfer. Employment transfers: Copy of signed offer letter, notice from employer showing transfer to new location with explanation if employer documentation is not applicable or documentation reflect the amount of any relocation assistance provided (not required for those with PCS orders).

Employment Discharge Letter OR
Unemployment Benefits Award OR
Copy of most recent unemployment benefit disbursement
(other example: unemployment benefit income: Two most recent bank statements showing deposit amounts)

To provide proof of reduced income, documents showing previous earnings and current earnings (if any) will need to be provided. (example: previous earnings included over time hours, new earnings show the reduction of pay without overtime.)

Previous two year signed tax returns with supporting schedules (both individual and business)
Most recent signed and dated quarterly or year-to-date profit/loss statement
Two most recent bank statements for all business accounts (all pages including blank)

May be able to use a copy of a current contract or 1099, depending on information listed.

Dissolution documents evidencing closure of business OR
Two months most recent bank statements evidencing the cessation of business activity OR
Notice of bankruptcy filing for the business

Consumer Banking Mitigation’s Address
Pentagon Federal Credit Union
2930 Eisenhower Ave
Alexandria, VA 22314
Fax: 866-298-2635
Email: Consumercreditworkouts@PenFed.org

Mortgage Loss Mitigation’s Address
Pentagon Federal Credit Union
ATTN: Mortgage Loss Mitigation
6191 N State Highway 161
Suite 500
Irving, TX 75038
Email: MortgageLossMitigation@penfed.org
Web: LoanSolutionCenter

You will be contacted shortly by a Loss Mitigation representative. If additional documents are needed for the review an email or letter will be sent notifying you.

Please note that your pending application does not affect your obligation to make your payments as they come due. The status of your account will continue to be reported to credit reporting agencies in accordance with the requirements of the Fair Credit Reporting Act.

Foreclosure is the loss of your home through a legal process where your mortgage servicer or a third party acquires the property at foreclosure sale.

You must move or you will be evicted from the property. It may be as long as seven years before you are eligible for another mortgage. You and any additional borrower listed on the mortgage may experience negative credit implications.

Yes, the sooner the better! If you wish to keep your home, contact your mortgage servicer immediately.

Please see the Avoiding Foreclosure attachment in this Application for more information, or you can contact Pentagon Federal Credit Union at 1-800-585-9055, IVR Option #7. Additional foreclosure prevention information is provided by HUD, or FannieMae or Freddie Mac.

There should never be a fee from your servicer or qualified counselor to obtain assistance or information about foreclosure prevention options. However, foreclosure prevention has become a target for scam artists. Be wary of companies or individuals offering to help you for a fee, and never send a mortgage payment to any company other than the one listed on your monthly mortgage statement or one designated to receive your payments under a state assistance program.

You remain obligated to make all mortgage payments as they come due, even while we are evaluating the types of assistance that may be available.

If you disregard your mortgage servicer’s notices, your mortgage servicer may refer your mortgage to foreclosure as authorized by your mortgage documents and applicable law.

Yes, but it is important that you reach out to your servicer as soon as possible to discuss potential options. If your mortgage servicer receives your complete Mortgage Assistance Application with only 37 or fewer calendar days before the scheduled foreclosure sale, there is no guarantee that your servicer will be able to evaluate you for mortgage assistance in time to stop the foreclosure sale.

Even if your mortgage servicer approves you for a foreclosure alternative prior to a sale, a court with jurisdiction over foreclosure proceedings (if any) or public official charged with carrying out the sale may not be able to halt the scheduled sale.

No. The property will not be sold at a foreclosure sale once you accept a foreclosure alternative, such as a forbearance or repayment plan, and comply with all requirements.

You should contact us as soon as possible. We are here to help you adjust to these events and provide you with information on where to send the mortgage payments. Please contact us to obtain a list of documentation that is needed to confirm your identity and ownership interest in the property, and to discuss next steps.

The delinquency status of your loan will be reported to credit reporting agencies as well as your entry into a Repayment Plan, Forbearance Plan, or Trial Period Plan in accordance with the requirements of the Fair Credit Reporting Act and the Consumer Data Industry Association requirements.

While the effect on your credit will depend on your individual credit history, credit scoring companies generally would consider entering into a plan with reduced payments as increasing your credit risk. As a result, entering into a plan with reduced payments may adversely affect your credit score, particularly if you are current on your mortgage or otherwise have a good credit score.