A mortgage is a loan to purchase a property. A mortgage uses the property as collateral to guarantee repayment of the loan. The borrower gives the lender a lien against the property, and the lender can foreclose on the property if the borrower does not repay the loan per the agreed terms.. a mortgage in itself is not a debt, it is evidence of a debt.

On the other hand LOAN is “An act of lending; a grant for temporary use: asked for the loan of a garden hose.”
So, simply is something that someone lends you. You can ask for a loan to a bank or a private lender and you can ask your neighbour for the loan of the garden hose… and when you finally stop using it, you have to give it back. Of course in the case of the hose you might not have to pay interest… or perhaps your neighbor asks you for beer or a cup of tea as retribution. In case of asking for a loan in a bank or a private lender, you will have to pay interest.

If you need to borrow a hose to a neighbor, you will think about which one is more close to you, perhaps your friend, and the one you have no troubles with!!! You won’t ask for the hose to that neighbor you have to argue all the time because one of his tree’s branch is on your property and you have to clean the leaves!

Well, with home loans is almost the same: you won’t ask for a loan to that bank that is calling you every day to ask you for the money you already own them!

Principal differences:
-In a mortgage, your mortgagee can sell your property to collect the money. This is called foreclosure. In a loan, even if it is secured by a mortgage, you still have full title to the property. No one else has rights of ownership.

- The word mortgage is derived from two other words “mort”=death “gage”=grip. When you have a mortgage the lender has you in a death grip. A loan is just something you borrow,

Foreclosure consultants make solicitations on behalf of, or represent clients who face foreclosure or who cannot reasonably hope to pay their mortgages or loans.

Foreclosure consultants can perform any or all of these tasks:

* Stop or postpone foreclosure or the sale of property.
* Obtain a forbearance from the mortgage. This means that the consultant gets the bank or creditor to refrain from forcing the mortgagee to pay off the loans.
* Assist the property owner in exercising his or her right of reinstatement.
* Get an extension of a period of time in which the owner can reinstate his or her obligations to the bank or creditor.
* Get a waiver of a clause in the loan that would have allowed for the acceleration of the foreclosure process.
* Help the owner to get approved for and receive another loan entirely.
* Avoid or lessen the injury to the owner’s credit that would surely result from foreclosure.

In general, work to save the residence or property from foreclosure.

Foreclosure consultants help their clients – the mortgagees and property owners – to understand the entire foreclosure process. It’s complicated legally, practically, and financially, and it certainly helps to have an experienced legal professional to walk you through all the confusing details. But most of all, meeting with a foreclosure consultant can lead you to understand the opportunities you could have to protect your home, or, at a minimum, to safeguard your credit from taking a brutal hit.

If while you are communicating with a “foreclosure consultant” and you notice the following, you may be talking to a veritable scammer:

- The consultant initiates a conversation or contact with you instead of you initiating contact with the consultant.
- The consultant advises you to break off communication with your lender.
- The consultant demands compensation before beginning to work.
- The consultant demands that you sign a wage assignment, a new lien on the property, or a security agreement for compensation.
- The consultant requests the power of attorney beyond the level of inspecting documents.
- Or the consultant asks you to sign a contract that does not allow you the right to cancel the agreement.

You can contact government agencies to get a list of legitimate foreclosure consultants. There are many legitimate foreclosure consultations you can speak with over the phone, online, and of course, in person. In fact, some foreclosure consultants will begin an overview of your case free of charge.

Who should look into foreclosure consultants?

If you don’t think you can make your mortgage payments and pay the loan, and you’re worried that the bank or creditor will move to repossess your property and foreclose it, there are experienced professionals you can turn to. Talking to a foreclosure consultant can help you allay your fears of losing your property and get you on the right track to the best resolution.

But you don’t have to be facing the threat of foreclosure to contact a foreclosure consultant. These legal experts could help you plan for the future to avoid a situation in which your property would risk foreclosure. Careful budgeting measures and explanations on how the law works could benefit you and your family – not to mention your property! – in the long run.

The pros and cons:

Foreclosure consultants can review your financial situation with you to determine what options you could have to begin negotiating with your lender to find a way out of foreclosure.

These professionals can also advise you on the types of arrangements the lender will likely present in the event of foreclosure.

Together with a foreclosure consultant, you can call the lender, or the consultant can call for you.

Consultations of this depth can teach you how to avoid these kinds of financial problems in the future. You can create a budget to work out monthly expenses, and then take this plan to the lender, perhaps resulting in saving your home from repossession.

Additionally, foreclosure consultants can tell you about programs in your area that educate about financial and legal assistance beyond foreclosure issues – but no less related to them generally.

But you must be careful. At a time when an unprecedented number of homeowners unfortunately face foreclosure, there are scammers out there who prey on homeowners’ anxiety. They deceive homeowners into signing contracts that benefit the scammer, and then they walk away with your money while your home still faces foreclosure. You must make sure to inquire into the history of every foreclosure consultant. One place to start is to contact government agencies for lists of credentialed foreclosure experts.