Homeowners who are choosing to participate in the “Making Home Affordable” program to save their home from foreclosure may be in for a nasty surprise. One of the side effects of the program are that the homeowner’s credit score will be lowered at all three credit bureaus. So in addition to having adverse credit because of late payments, homeowners will now get hit with the double whammy of further reduced credit scores. Read the full MSNBC.com article here.

If you are deciding how to deal with your late payments or pending foreclosure, consider doing a shortsale. A shortsale is when you sell your home, and your bank is willing to accept less than what is owed on your home as full payment. You won’t make any money from the sale, but the debt will be paid and you can move on to make a fresh start at a new residence. You also won’t have to worry about your credit scores being reduced, which will affect your ability to buy another home, car or insurance in the future.

Don’t wait until it’s too late. Click here to see if you qualify for a shortsale.