Loan Modification:

Term Modification

A Term Modification a type of loan modification that extends the repayment period for your home loan. This type of loan modification is almost always offered permanently, and can be used in addition to an interest rate reduction to maximize monthly savings for a homeowner. For example, a borrower who is five years into a 30 year loan can request a term modification resulting in re-writing the note to a new 30 or 40 year term, thereby lengthening the period of time a borrower has to pay for his or her loan.

Loan Modification: Types of Loan Modification