Most people believe that owning their own home offers a sense of security. Unfortunately, some have found themselves affected by circumstances beyond their control (e.g., loss of employment, mortgage interest rate adjustments, stock market losses, etc.) and are having trouble making their monthly mortgage payments. If you find yourself in this situation, the Credit Union can help you review your financial situation and explore options that may be available to help you avoid foreclosure.


What You Should Do

First: Gather Documentation

Before calling the Credit Union to discuss what options may be available to you to avoid foreclosure, please collect and be prepared to provide us with copies of the following documents:

  1. Completed "Borrower Financial Statement";
  2. Income verification documents such as your most recent paystub, Social Security benefit statements,  unemployment, retirement, or public assistance earnings; prior year’s W-2s and tax returns (if self-employed);
  3. A letter from you outlining why you are unable to make your mortgage payments (i.e., lost your job, severe illness, or other financial hardship);
  4. Current mortgage statements;
  5. Evidence of current insurance on the property securing your loan;
  6. Evidence that the property taxes on the property securing your loan have been paid and are current;
  7. Any recent valuations of the property securing your loan, if available (i.e., recent appraisal or current listing agreement if your property is for sale).
Second: Call the Credit Union

With copies of the documentation above in hand, call us at 510-251-6000 or 800-782-8782

If you are unable to afford your monthly loan payments and are facing foreclosure, the following options may be available to you: 

  1. Forbearance agreement 
  2. Loan modification
  3. Short sale
  4. Deed in lieu of foreclosure

The Credit Union will work with you to discuss your financial situation and explore options that may be available to you in order to avoid foreclosure. If you wish to designate a HUD-certified housing counseling agency, attorney, or other advisor to discuss this options for the borrower to avoid foreclosure, please fill out and submit "Borrower Designation of Representation" to Spectrum. Please note that the Credit Union reserves the right to allow or disallow any of the foregoing options.


HUD-Certified Housing Counseling Agencies

If you are facing foreclosure, the U. S. Department of Housing and Urban Development (HUD) can help you obtain housing counseling. Click here to find a HUD-certified housing counseling agency near you or call 800-569-4287 or TTY 800-877-8339.

Additionally, HUD's "Guide to Avoiding Foreclosure" contains valuable information about what you should do if you are facing foreclosure as well as any precautions you should take.


This notice is provided in accordance with California Civil Code §2923.5(e)(5). Please be advised that Spectrum Credit Union reserves the right to accept or deny any request for foreclosure avoidance in its sole and absolute discretion. The approval of Spectrum Credit Union of any option to avoid foreclosure is on a case-by-case basis and merely calling the Credit Union to discuss possible alternatives to foreclosure does not guarantee that you will be approved.

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