Received a notice of foreclosure, what to do now? Resident of california

Sorry to hear of your situation.

The first thing you should do, if you haven't done so already, is contact your bank to determine what options (i.e., loan modification) are available to you. Generally, banks are looking for some sort of hardship, i.e., loss of job, reduction in income, failed business, medical illness, etc. Most banks have adopted a nuanced version of the Making Home Affordable program introduced by President Obama. You can (and should) read up on the MHA here: www.makinghomeaffordable.gov.

Also, check with your lender. Most lenders have their requirements posted on their website. The best candidates for loan mods are usually those who fall within a $400 monthly deficit to $400 monthly surplus. Again, each bank has a nuanced version of this, and they're usually not willing to disclose this number for fear that you'll massage the numbers if you know the guidelines. There are several other factors. Be prepared to document your income and expenses. Have a hardship letter explaining your circumstances.

Also, beware of fraudalent loan modification services. Many companies out there are defrauded distressed homeowners. As of Mid October, no one, not even attorneys, is allowed to collect advance fees for loan modification services.

Good luck.