What forbearance actually does

Forbearance is a temporary pause or reduction in your mortgage payments, agreed to in writing by your lender. You do not lose the home, you do not forgive the debt, and you do not stop owing the money — you straightforward delay paying it for a set period, usually three to twelve months. At the end of forbearance, you owe the full amount you skipped, plus interest that has continued to accrue.

The lender agrees to forbearance because they would rather have you catch up later than foreclose now. Foreclosure is expensive, slow, and uncertain. If you can show genuine hardship — job loss, illness, divorce, natural disaster — most servicers will negotiate rather than start court proceedings.

Forbearance is not the same as loan modification, which permanently changes the terms of your mortgage. It is not forgiveness. It is a pause, with a bill due at the end.

Key Takeaways

  • Forbearance pauses or reduces your monthly payment for three to twelve months, but you still owe the skipped amount plus interest when the forbearance period ends.
  • You must contact your servicer directly — the company that collects your payments, not necessarily the bank that originated the loan — and document your hardship in writing.
  • Once forbearance ends, you must either resume full payments, enter a repayment plan, refinance, or pursue a permanent loan modification.
  • Missing a forbearance important date or failing to make the agreed payment at the end can restart foreclosure proceedings when ready.
  • Federal rules protect borrowers in forbearance from foreclosure during the pause period, but protections end when forbearance ends.

How to request forbearance from your servicer

Contact the servicer listed on your mortgage statement — this is the company that collects your monthly payment, which may not be the original lender. Call the number on your statement or visit their website to find the loss mitigation or hardship department. Do not wait until you have already missed a payment; servicers are more likely to grant forbearance if you request it before you fall behind.

Be ready to explain your hardship in concrete terms: job loss with a specific end date, medical bills with documentation, reduced income with recent pay stubs. Vague claims of difficulty do not move servicers. You will likely need to submit a financial worksheet showing your income, expenses, and assets. Some servicers require a formal Hardship Affidavit — a signed statement under penalty of perjury describing what happened and why you cannot pay right now.

Ask the servicer in writing to confirm the forbearance terms: the exact amount of the monthly reduction or pause, the number of months it covers, and what happens when it ends. Get this in writing before you stop paying. A verbal agreement is not enough.

What happens during forbearance

During the forbearance period, you pay the reduced amount (or nothing, if it is a full pause) on the agreed schedule. Your servicer will not report missed payments to credit bureaus during this time — that is the point of the agreement. However, your credit report will note that you are in forbearance, which lenders can see.

Interest continues to accrue on your loan. If you normally pay $1,500 per month and forbearance pauses that payment for six months, you owe $9,000 in skipped principal and interest at the end. That $9,000 does not disappear; it becomes due when forbearance ends.

You must still pay property taxes, homeowners insurance, and HOA fees if you have them. Forbearance covers only the mortgage payment itself. If your servicer collects taxes and insurance in escrow (bundled into your monthly payment), ask whether those amounts are also paused or if you still owe them separately.

What you owe when forbearance ends

When the forbearance period ends, you have four main options. The first is to resume full payments when ready — your regular monthly payment plus whatever amount the servicer specifies to catch up the skipped months. This works only if your hardship has truly passed and you can afford the larger payment.

The second option is a repayment plan, where the servicer spreads the skipped amount over several months, adding it to your regular payment. If you owe $9,000 in back payments and the servicer offers a twelve-month repayment plan, you would pay your normal monthly payment plus $750 per month for a year.

The third option is to refinance your mortgage with a different lender, using the new loan to pay off the old one in full. This works only if you have regained stable income and your credit score has not dropped too far during forbearance.

The fourth option is a loan modification, a permanent change to your loan terms negotiated with your servicer. This might lower your interest rate, extend the loan term, or add the skipped payments to the principal balance. Loan modifications are harder to get than forbearance and require more documentation, but they change what you owe going forward rather than just delaying it.

What can go wrong with forbearance

The most common mistake is treating forbearance as forgiveness. When it ends, you owe the full amount. If you have not planned for that bill, you can fall behind again when ready, and the servicer can resume foreclosure.

The second mistake is missing a payment during forbearance. If you agreed to pay $500 per month during a six-month forbearance and you skip a month, you have broken the agreement. The servicer can end forbearance and demand the full payment when ready, or begin foreclosure. Read your forbearance letter carefully and mark the payment dates on a calendar.

The third mistake is assuming forbearance protects you indefinitely. Federal rules prevent foreclosure during forbearance, but once it ends, those protections end too. If you do not have a plan to pay what you owe at the end, you are back where you started.

The fourth mistake is not getting the forbearance agreement in writing. Verbal agreements with servicers are nearly impossible to enforce. If the servicer later claims you never had forbearance, you have no proof. Always request written confirmation before you stop paying.

Forbearance and your credit report

Forbearance itself does not damage your credit score the way a missed payment does. During forbearance, your servicer will not report you as delinquent to the three major credit bureaus — Equifax, Experian, and TransUnion. However, your credit report will show that you are in forbearance, and lenders can see this notation.

If you fail to make the agreed payment during forbearance, or if you cannot pay what you owe when forbearance ends, then missed payments will be reported and your score will drop. The damage depends on how late you are and how long the delinquency lasts. A thirty-day late payment is less damaging than a ninety-day late payment, but both will lower your score.

After forbearance ends and you have caught up on what you owe, the forbearance notation will eventually age off your credit report, usually within seven years. In the meantime, it signals to other lenders that you had trouble paying your mortgage, which can affect your ability to borrow for other purposes.

When forbearance is not enough

Forbearance works best for people whose hardship is temporary — a job loss that lasted three months, a medical emergency that is now resolved, a divorce settlement that is finalized. If your income has permanently dropped, or if you owe more than your home is worth, forbearance only delays the problem.

If you cannot afford your mortgage even after forbearance ends, explore a loan modification, refinance, or sale. Some people in this situation pursue a short sale, where the lender allows you to sell the home for less than you owe and forgives the difference. Others pursue a deed in lieu of foreclosure, where you voluntarily transfer the home to the lender instead of fighting foreclosure in court. Both damage your credit, but both avoid the foreclosure process itself.

If you are underwater on your mortgage — you owe more than the home is worth — and you cannot afford the payment, forbearance is a temporary bridge, not a solution. Use the forbearance period to explore your other options with a HUD-approved housing counselor, who can review your specific situation for free.

Frequently Asked Questions

Can I get forbearance if I have not missed a payment yet?

Yes, and this is actually the best time to request it. Servicers are more likely to grant forbearance if you contact them before you fall behind. Explain your hardship and ask for forbearance as a preventive measure. Once you have missed payments, the servicer may require more documentation or deny the request.

What if my servicer denies my forbearance request?

Ask for the reason in writing. Some servicers deny forbearance if your hardship does not meet their criteria, or if you have already used forbearance recently. You can request reconsideration, submit additional documentation, or contact a HUD-approved housing counselor to help you appeal. If the servicer continues to refuse, you may have other options like loan modification or refinance.

Does forbearance stop a foreclosure that has already started?

It can, but you must request forbearance before the foreclosure sale date. If you are already in court proceedings, contact your servicer when ready and ask about forbearance. Some servicers will pause foreclosure while forbearance is being considered. However, if the sale has already occurred, forbearance cannot undo it.

Can I sell my home while I am in forbearance?

Yes. The sale proceeds go to your servicer to pay off the mortgage in full. If you owe less than the sale price, you keep the difference. If you owe more, you would need to bring cash to closing or negotiate a short sale with your lender's permission. Forbearance does not prevent you from selling; it just pauses your monthly payment while you arrange the sale.

What if I cannot pay what I owe when forbearance ends?

Contact your servicer at least thirty days before forbearance ends and ask about a repayment plan, loan modification, or other option. Do not wait until the important date passes. If you wait, the servicer can demand full payment when ready or resume foreclosure. A housing counselor can help you negotiate with your servicer if you are struggling to find a solution.