Home arrow Mortgage Forums arrow Deeds, Property Transfer and Estate Planning arrow

What are forbearance suspense and principal curtailment?

Author Message
diana10

Guest







Post Posted: Wed Sep 24, 2008 2:07 pm    Post subject: What are forbearance suspense and principal curtailment?
Like 0
Dislike 0

what is forberance suspense and prinicpal curtailment?
I keeping sending my payment within the grace period sometimes before the 1st due date, I send extra prinicpal and whatever the amount they charge either one of those two, and my extra $$ is not applied to the prinicpal. So what gives if I send extra. I feel and see that its useless money really going down the drain. I dont understand it.
Diana

_________________
Need help choosing the right loan? Get free consultation from community lenders/consultant
Icon Mini Profile smithsussane
smith.sussane




Joined: 18 Sep 2008

Posts: 10439
Location: Alaska
985.83 Dollars($)
Post Posted: Wed Sep 24, 2008 8:03 pm    Post subject:
Like 0
Dislike 0

Hi Diana!

Welcome to the Forums!

Forbearance Suspense Amount means any payment amounts which are not yet applied to principal, interest, or to the escrow. The funds will be remaining in a Forbearance Suspense Account unless they are properly designated. Principal curtailment is considered to be an additional payment which is paid directly against your loan's principal balance.

So the extra amount which is not applied to the principal is your forbearance suspense amount and is kept in your forbearance suspense account.

Feel free to ask if you have further queries.

Sussane
Susanne

Guest







Post Posted: Fri Sep 26, 2008 2:06 am    Post subject:
Like 0
Dislike 0

Hi Diana!

That amount which is not applies to interest, principal or escrow is known as Forbearance Suspense amount. Your extra amount is deposited in the forbearance suspense account.
gguanlao

Guest







Post Posted: Fri Nov 05, 2010 2:33 pm    Post subject: Suspense Adjustment
Like 0
Dislike 0

What is suspense adjustment?
Guest









Post Posted: Fri Nov 05, 2010 9:52 pm    Post subject:
Like 0
Dislike 0

As far as I know, it might be distribution of money from your suspense account. You should contact your lender and he will be able to explain it to you in a better way.
Lilly

Guest







Post Posted: Sat Jun 04, 2011 9:40 am    Post subject:
Like 0
Dislike 0

can interest compound on a loan that has a fixed rate?
Icon Mini Profile smithsussane
smith.sussane




Joined: 18 Sep 2008

Posts: 10439
Location: Alaska
985.83 Dollars($)
Post Posted: Sun Jun 05, 2011 10:24 pm    Post subject:
Like 0
Dislike 0

Hi Lilly!

Welcome to forums!

Your query has been replied to in the given page:
http://www.mortgagefit.com/loantalk/compoundinterest-frm.html

Please take a look at it. I hope it will help you.

Sussane
mary073005

Guest







Post Posted: Thu Jun 30, 2011 8:00 pm    Post subject: special forbearance
Like 0
Dislike 0

Hi, i recently got a letter saying i was aproved for a special forbearance. I will be making a payment amount for less then my regular montly mortgage for 6 months. they told me the money will go into a suspense account. Why they do that? They told me that if my loan gets a modification that money will be added to my loan but what happens if i dont get a loan modification? What happens to the money?
Icon Mini Profile jameshogg
jameshogg




Joined: 20 Dec 2005

Posts: 10460
Location: Nevada
987.57 Dollars($)
Post Posted: Thu Jun 30, 2011 11:19 pm    Post subject:
Like 0
Dislike 0

Hi mary,

If you don't get a loan modification, then you will use the money in order to recover the past due payments.

Thanks
Quick Reply
Your Name
Subject
Image Verification


Can't read the image? click here to refresh
Message body

All times are GMT - 7 Hours
Page 1 of 1

 
Refinance Quotes
Call for Rates
888-485-7561
Speak to a lender now.

We will match calls to our toll free number with our network of lenders.

Ask Questions
Community Attorney
Joshua Heard - Attorney Joshua Heard
Houston, Texas






Highlights

Helpful References

Mortgage Guide
Mortgage Terms
Mortgage News
Book Center
Shop and Compare lenders
30 Yr. Fixed Vs. 5/1 ARM


Our Community

MortgageFit Blog
Community Professionals
Community Rewards
Introduce yourself
Website tools


Community Rewards

Five simple ways to earn money with the Mortgage Community.

New and upcoming tools
Credit Repair Tool New
Mortgage Planner
Simple Budgeting Tool







We have chosen to apply the Creative Commons Attribution License to all works we publish. This work is licensed under cc by 2.0
Page loaded in 0.087 seconds.