A sample hardship letter written to request to receive a loan modification from a bank. Be sure to write formal business letters in the proper business letter format.
I am writing to explain the series of unfortunate events and situations that have causes me to fall behind on my mortgage payments. Though I have [Insert information about what you have done to try and remedy this situation], I am unable to keep up with the current payments. Thus, I am asking [Lender Name] to modify my home loan. My focus is to keep my home and to repay my loan. Modifying my loan's rates and term will help me accomplish both of these goals.
I fell behind on my mortgage payments when [Insert the reasons here – be concise and clear so the reader understands the root of the issue.] Once I fell behind, it seemed more and more difficult to catch up. Thus, with late fees and interest, I have fallen even further behind. Because of this, I am unable to keep up with my current payments and make up past ones. Despite [Insert possible solutions you looked into: This shows the lender that you have tried to find a solution on your own.], I have not been able to catch up. I want nothing more than to repay this mortgage. To accomplish this, I will need help.
A loan modification will help me pay back this home loan. My financial situation has improved so that I can make consistent payments. A lower payment would help me keep my home and also pay back what I owe to your organization.
I truly hope you will consider working with me to settle this matter. I am anxious to collaborate with you so that we can create a modified loan agreement. Thank you for your time.