The easiest way to stop foreclosure in South Carolina is to contact your lender as soon as you are unable to make your payments on time. Lenders want the borrowers to keep their homes because foreclosure is an expensive process on which most lenders end up losing money.

Lenders therefore have an interest in exploring every possible option to prevent a foreclosure. South Carolina foreclosure recovery can include strategies such as forbearance, partial claim, payment modification and payment suspension. However, the fewer payments you are behind, the more options will be open to you.

There are three key actions to take in the South Carolina foreclosure recovery process:

1. Read and respond to any correspondence from your lender. These notices will contain important information on the foreclosure recovery process in South Carolina and pending legal action.

2. Raise money to make a missed payment. You may be able to sell assets such as a second car or jewelry or you could take a second job.

3. Avoid foreclosure recovery scams. Many companies claim to be able to stop your foreclosure by charging you for information you could get for free. Others will require you to sign over the title to your house.

Action Steps
The best contacts and resources to help you get it done

Know how South Carolina foreclosure law will affect you

South Carolina foreclosure law varies considerably from other states, so you should be familiar with at least a summary of foreclosure laws in South Carolina. You should also read your loan documents to know what your lender can do if you can't make your payments.

I recommend: Foreclosurelaw.org offers a summary of South Carolina foreclosure laws and a glossary of common foreclosure terminology. In addition to a summary of South Carolina law, American Foreclosure Specialists provides a description of possible strategies for avoiding a foreclosure on your home.

Get assistance with South Carolina foreclosure recovery information

There are housing counselors and online resources available to help you understand your options, assist you in organizing your finances and negotiate with your lender, if needed.

I recommend: The Homeownership Preservation Foundation offers a hotline that provides free foreclosure prevention counseling by HUD-approved agencies. Visit the National Foundation For Credit Counseling’s Homeowner Crisis Resource Center for information and tools to get started understanding your foreclosure options.

Retain a SC foreclosure attorney

If you are required to sign documents, you may need a South Carolina foreclosure attorney. SC attorneys that do not handle foreclosure law may be able to make a referral.

I recommend: Austin, Lewis & Rogers in Columbia has a real estate group that handles SC foreclosure law. Minor, Haight & Arundell on Hilton Head Island specifically include foreclosures in their practice area.

Watch out for mortgage recovery scams

The Federal Trade Commission warns that there are plenty of bad guys operating in the foreclosure recovery business who will take your money and provide no service. Some warning signs, according to the FTC: advertising terms like 'guarantee' and '97% success rate', upfront fees before services and company names or websites designed to make you think you're dealing with a government or nonprofit agency.

I recommend: Educate yourself about foreclosure recovery scams through the Federal Trade Commission. The FTC recommends you only seek foreclosure help from government sanctioned counseling agencies like the ones recommended by the U.S. Department of Housing and Urban Development or the federal Making Home Affordable program.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Consider refinancing in your South Carolina foreclosure process if you have some equity in your home. You will normally need at least 10 percent equity for a reasonable chance at refinancing and your odds get better with more equity. However, you don't want to make the common mistake of simply taking out a new loan that will be just as difficult to repay as the original mortgage.