According to the Wall Street Journal, some mortgage companies are slashing the amounts that borrowers owe, deciding that permanent cuts in loan balances may pay off by helping teetering borrowers avoid foreclosure.

There are few lawyers in Arizona who have negotiated more loan workouts than Bill Miller. The most important factors are: (1) Honesty in the original loan applications; (2) The story (why you cannot pay); and (3) Why a workout is better than a foreclosure. If you can satisfy these three factors, a workout is possible, but full disclosure of current assets and your updated financials must be tendered.