What is Jingle Mail?

When the debtor decides to leave the mortgage repayment and return the keys to the bank before the bank has a chance to exclude real estate, it is known as "Jingle Mail", in reference to a sound that releases full keys when he arrives at the bank. The mortgage crisis on the subprime caused an explosion in Jingle mail because the debtors realized that they could not perform mortgages and quickly lost their own capital in their homes. Rather than passing through the market closure process, some people decided to submit their keys early. Most creditors are engaged in manipulating money, not by managing real estate and the sudden incidence of the large reserves of real estate to be managed was problematic for many banks. The declining values ​​of real estate and the stiffer standards of lending were more difficult for banks to interpret a property that unfortunate unfortunate debtors on them.

There are some benefits for debtors that leave fromMortgages, although there are also some serious consequences. Sending the Jingle Mail package will help the debtors avoid the appearance of market closure management in their credit records, but the loan will still be considered a failure, which will be demanding to lend money in the future. The primary advantage for enlargement of the mail in the eye of some debtors is that it allows them to get out of the mortgage as soon as they realize that the mortgage cannot be paid and ensure that they do not make more payments for the losing proposal.

The related concept is cash for the keys in which the bank pays the default debtor to release the house. Banks are more advantageous Jingle and cash for the keys to the traditional closure of the market, as they generally receive a home in a better condition, making it easier.

There are various reasons why the debtor resorts to sending Jingle Mail. Declining housing prices are a common reason, as well as balloon interest rates. Many debtors caught up in a mortgage with a mortgage ended with mortgages that they could notTo handle, and in some cases, their main balances actually increased over time, which paid off the mortgages even harder. When the Subprime mortgage is combined with a job loss or a sudden increase in expenditure, throwing into a towel may begin to look like a good choice.