Loan Modification Disclosure Requirements

Any person who negotiates, attempts to negotiate, arranges, attempts to arrange, or otherwise offers to perform a mortgage loan modification or other form of mortgage loan forbearance for a fee or other compensation paid by the borrower, is required provide the following to the borrower, as a separate statement, in not less than 14-point bold type, prior to entering into any fee agreement with the borrower:

  • It is not necessary to pay a third party to arrange for a loan modification or other form of forbearance from your mortgage lender or servicer. You may call your lender directly to ask for a change in your loan terms. Nonprofit housing counseling agencies also offer these and other forms of borrower assistance free of charge. A list of nonprofit housing counseling agencies approved by the United States Department of Housing and Urban Development (HUD) is available from your local HUD office or by visiting

If loan modification or other mortgage loan forbearance services are offered or negotiated in Spanish, Chinese, Tagalog, Vietnamese, or Korean, then the above noted disclosure must be provided to the consumer in the language in which the services are discussed or offered. Below are the translations of the required disclosure in each of the noted languages.

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