
According to the Washington Associated Press, if you sign up for the government’s mortgage assistance programs, there’s a chance you may get something you don’t expect – a lower credit score.
What are these mortgage assistance programs?
- Home Affordable Refinance: This option can help you refinance into a more affordable mortgage if you’re paying your mortgage on time but you’re unable to refinance to a lower rate because you owe more on your mortgage than your home is currently worth.
- Home Affordable Modification: This option can help you get mortgage payments you can afford if you’re delinquent in making your monthly mortgage payments, in the foreclosure process, or current on your payments but have recently experienced hardship and you are about to miss a payment.
There are many pitfalls showing up with these programs. One very important one is this, if you are struggling to continue making your payments on time so you sign up for a government loan modification program,your credit score could immediately reduce by as much as 100 points! What? Why?

photo by 







