Ask the Finance Expert

Rise in Rates

MHI: What can I do if my mortgage rate has skyrocketed (other than wait for a government bailout)?

FT: First things first: Make every attempt to pay your mortgage. Second, talk to the loan officer at your bank. See if there is any loan modification or refinancing plan for which you can apply. You also may want to consider renting out a room. More families are doing this to supplement their monthly mortgage payment. Make sure you are re-examining your budget and cutting the fat out of your daily expenses as much as possible to free up cash to put toward your mortgage.