I just finished finalizing our new family budget. Things look pretty grim, but I think we’ll at least be able to avoid foreclosure. We’re going to cut off the cable, my wife is going to cancel her gym membership (which she barely uses anyway) and I’m going to have to give up my weekly poker night but at least we’ll be able to keep our house. I think a lot of people get scared when they get a notice from their mortgage company telling them that they are behind, but most mortgage companies don’t want your house, they want your money. If you just contact them after they send you a letter and let them know that, despite being in a tough spot financially, you are willing to do what ever it takes to get them their money, most of them will just get off of your back. I haven’t even sent them a check yet, but gave a verbal plan to a customer service rep over the phone with the promise of a check coming their way soon and they seemed satisfied with that, at least for the moment. If you do nothing, then companies are scared that you aren’t going to pay up, but a verbal or written promise along with a little money can go a very long way when you’ve got a lender that wants to collect from you.