To listen to the general press, one would assume that a homeowner’s interest rate on their mortgage is written in stone.

News flash to the media and distressed mortgage holders: YOU CAN HAVE YOUR INTEREST RATE CHANGED. Not under all circumstances, but in fact persons facing hardship, even those in pre-foreclosure, are eligible for a recast of their mortgage terms.

Of course, many people are in difficult situations with ARMs (adjustable rate mortgages) because they didn’t take the time to read the loan documents, or they didn’t question a mortgage broker or banker when they bought their home or refinanced it in the first place. This is the root of the problem — inability to understand the language of banks and real estate.

Enter the loan modification specialists. These are teams of lawyers and financial experts who work for the holder of a distressed loan. They look at the facts of a case – the borrower’s ability to continue making some payments, albeit reduced, and the facts of the property itself. If they determine the loan terms are likely eligible for adjustment downward (to the homeowner’s benefit), they will go to the lender and make that case. Their advantage is knowing the language and the situation of the lender — in most cases, the bank loses in a foreclosure.

Anyone working with a loan modification specialist should be astute in managing the fee structure: Expect to pay about a month’s payment to the modification consultants, although they should accept that payment in installments, and provide a 100% money back guaranty if not successful.

All in all, it’s a no-lose proposition for anyone facing possible foreclosure or even extremely difficult mortgage terms.