Facing Foreclosure in Colorado: A Free Plain-Words Guide

Colorado foreclosure course glossary: 82 terms

Every trade word from the course in plain English, A to Z. Each links to the lesson that teaches it.

A B C D E F H I J L M N O P Q R S U V

A

Acceleration: The lender demanding the whole loan balance at once. Principal that was not yet due before acceleration is left out of the cure amount. Curing the default: how to stop the sale by catching up
Automatic stay: A federal court freeze on collection that starts when someone files for bankruptcy. Curing the default: how to stop the sale by catching up
Automatic stay: A court order that starts when a bankruptcy is filed and halts most collection actions. Your options: reinstate, modify, sell, short sale, deed in lieu, bankruptcy basics

B

Bid: The signed amount, with an itemized breakdown, that the holder gives the officer before the sale. After the sale: overbids, surplus money and unclaimed refunds
Borrower: The person or company liable on the mortgage loan or deed of trust. After the sale: overbids, surplus money and unclaimed refunds
Business day: A normal working day; used in the eight-business-day and two-business-day deadlines in this lesson. The Colorado public trustee foreclosure, step by step

C

Certificate of purchase: The paper the winning bidder gets at the sale. It is not yet a deed. The Colorado public trustee foreclosure, step by step
Certificate of purchase: The paper the winning bidder gets at the sale. Redemption: who can redeem after the sale, and how
Certificate of redemption: The paper recorded when a lienor redeems. It works as an assignment of the buyer's interest to that lienor. Redemption: who can redeem after the sale, and how
CFPB: The federal Consumer Financial Protection Bureau, where you may file a complaint. Free help: HUD-approved housing counselors, the public trustee, and what to ask
Colorado Foreclosure Protection Act: The state law at C.R.S. 6-1-1101 to 6-1-1120 setting minimum rules for foreclosure consultants and equity purchasers. The Foreclosure Protection Act: spotting equity-skimming and rescue scams
Combined notice: One notice, mailed and printed in a newspaper, giving the sale date, place and your key deadlines. The Colorado public trustee foreclosure, step by step
Cure: Paying what you are behind, plus the lender's allowed fees and costs, to stop the foreclosure. It is not paying off the whole loan. Curing the default: how to stop the sale by catching up
Cure: Paying the amount needed to stop a foreclosure on a loan in default. Your options: reinstate, modify, sell, short sale, deed in lieu, bankruptcy basics
Cure statement: The lender's itemized list of the exact amount needed to cure. It has a stated time period when it is good. Curing the default: how to stop the sale by catching up
Cure statement: The itemized total the lender's side files showing what it takes to cure. Your options: reinstate, modify, sell, short sale, deed in lieu, bankruptcy basics

D

Deed in lieu of foreclosure: Voluntarily signing the property over to the lender to settle the loan instead of a sale. Your options: reinstate, modify, sell, short sale, deed in lieu, bankruptcy basics
Deed of trust: The paper that lets the lender's side sell your home through the public trustee if the loan is not paid. The Colorado public trustee foreclosure, step by step
Deficiency: On the bid form, the part of the debt the holder's opening bid does not cover. After the sale: overbids, surplus money and unclaimed refunds
Dual tracking: Processing your request for help and the foreclosure at the same time. Colorado limits it. Curing the default: how to stop the sale by catching up
Dual tracking: Pushing a foreclosure forward while also reviewing a request for help. Your options: reinstate, modify, sell, short sale, deed in lieu, bankruptcy basics
Dual tracking: Pushing a foreclosure forward while also reviewing you for help. Free help: HUD-approved housing counselors, the public trustee, and what to ask

E

Easement: A right to use part of someone else's property, such as a path or utility line. Redemption: who can redeem after the sale, and how
Equity: What the home is worth minus what is owed on it. Your options: reinstate, modify, sell, short sale, deed in lieu, bankruptcy basics
Equity: What a home is worth minus what is owed on it. The Foreclosure Protection Act: spotting equity-skimming and rescue scams
Equity purchaser: A person who acquires title to a residence in foreclosure, with several exclusions such as a buyer who will live there. The Foreclosure Protection Act: spotting equity-skimming and rescue scams
Escrow: A safe holding account where the officer keeps the money until it is paid out. After the sale: overbids, surplus money and unclaimed refunds
Evidence of debt: The loan paper itself, usually the promissory note. The Colorado public trustee foreclosure, step by step
Evidence of debt: The written promise to pay, such as a note or loan agreement. After the sale: overbids, surplus money and unclaimed refunds

F

Forbearance: A temporary pause or reduction in payments, then a plan to catch up. Your options: reinstate, modify, sell, short sale, deed in lieu, bankruptcy basics
Foreclosure consultant: A person who, for pay, offers to stop, delay or fix a foreclosure and does not take title to your home. The Foreclosure Protection Act: spotting equity-skimming and rescue scams
Foreclosure consultant: A person who charges for help with a foreclosure; by Colorado law they cannot charge an up-front fee. Free help: HUD-approved housing counselors, the public trustee, and what to ask
Foreclosure consulting contract: Any agreement between a foreclosure consultant and a homeowner. The Foreclosure Protection Act: spotting equity-skimming and rescue scams

H

Holder: The person or company that owns the loan (the evidence of debt). The Colorado public trustee foreclosure, step by step
Holder: The lender or other owner of the loan paperwork who is foreclosing. After the sale: overbids, surplus money and unclaimed refunds
Housing counselor: A trained nonprofit helper who explains your options and builds a budget with you, generally free or low cost. Free help: HUD-approved housing counselors, the public trustee, and what to ask
HUD: The federal housing department, which keeps the list of counselor agencies in its program. Free help: HUD-approved housing counselors, the public trustee, and what to ask

I

Installment land contract: A contract to buy land paid over time, where the seller keeps title until paid. The seller is the vendor and the buyer is the vendee. Redemption: who can redeem after the sale, and how

J

Junior lien: A loan or claim on the property that ranks below the loan being foreclosed, such as a second mortgage. Curing the default: how to stop the sale by catching up
Junior lien: A deed of trust or other lien that ranks below the one being foreclosed, such as a second mortgage. Redemption: who can redeem after the sale, and how
Junior lienor: Someone with a lien recorded behind the first loan, like a second mortgage or a judgment. After the sale: overbids, surplus money and unclaimed refunds

L

Legal aid: A nonprofit law office that helps people with low income. Free help: HUD-approved housing counselors, the public trustee, and what to ask
Lienor: A person or company holding a recorded claim against the property. The definition includes the holder of a certificate of purchase. Redemption: who can redeem after the sale, and how
Loan modification: A permanent change to the loan's terms to make the payment doable. Your options: reinstate, modify, sell, short sale, deed in lieu, bankruptcy basics
Loss mitigation: The lender's help programs, such as a payment plan or loan change, meant to avoid a foreclosure. The Colorado public trustee foreclosure, step by step
Loss mitigation: The lender's programs to help a borrower avoid foreclosure. Your options: reinstate, modify, sell, short sale, deed in lieu, bankruptcy basics
Loss mitigation: The lender's ways of avoiding foreclosure, such as a payment plan or a loan change. Free help: HUD-approved housing counselors, the public trustee, and what to ask
Loss mitigation application: Your paperwork asking for help such as a payment plan or loan change. Curing the default: how to stop the sale by catching up

M

Mechanic's lien: A recorded claim by a contractor or supplier who was not paid for work on the property. Redemption: who can redeem after the sale, and how

N

Notice of cancellation: A detachable form that lets you cancel a contract; any written words showing you intend to cancel also work. The Foreclosure Protection Act: spotting equity-skimming and rescue scams
Notice of election and demand: The holder's filing that says you broke the deed of trust and that it chooses to sell. Its recording date starts several clocks. The Colorado public trustee foreclosure, step by step
Notice of intent to cure: The short written notice you file with the public trustee, with proof of your right to cure, at least 15 calendar days before the sale. Curing the default: how to stop the sale by catching up
Notice of intent to cure: A paper filed with the officer saying you plan to catch up on what you owe. Free help: HUD-approved housing counselors, the public trustee, and what to ask
Notice of intent to redeem: The filing a lienor must make with the public trustee within eight business days after the sale. Redemption: who can redeem after the sale, and how

O

Officer: The law's word for the public trustee or sheriff who runs the sale. After the sale: overbids, surplus money and unclaimed refunds
Order authorizing sale: A court order the holder must get under Rule 120 before a public trustee sale. Without it the sale is invalid. The Colorado public trustee foreclosure, step by step
Overbid: The part of the sale price that is above the holder's written bid. After the sale: overbids, surplus money and unclaimed refunds

P

Per diem interest: Interest figured for each day, such as the daily amount used to compute redemption cost. Redemption: who can redeem after the sale, and how
Public trustee: The county official who records the foreclosure, runs the sale and keeps the records. The statute calls this person the officer. The Colorado public trustee foreclosure, step by step
Public trustee: The county official who runs most Colorado foreclosure sales. Your options: reinstate, modify, sell, short sale, deed in lieu, bankruptcy basics
Public trustee: The county official who runs most Colorado foreclosure sales. The Foreclosure Protection Act: spotting equity-skimming and rescue scams
Public trustee: The county office that runs most Colorado foreclosure sales and holds the overbid money. After the sale: overbids, surplus money and unclaimed refunds
Public trustee: The county office that runs most foreclosure sales and mails the combined notice. Free help: HUD-approved housing counselors, the public trustee, and what to ask

Q

Quitclaim deed: A deed that transfers whatever interest the signer has, with no promises about the title. The Foreclosure Protection Act: spotting equity-skimming and rescue scams

R

Reconveyance: A deal in which you give the home to a buyer and have the right to buy it back. The Foreclosure Protection Act: spotting equity-skimming and rescue scams
Redeem: To buy the property back from a foreclosure sale by paying the sale price plus interest and allowed costs. Redemption: who can redeem after the sale, and how
Redemption period: The short time, set by the public trustee, in which a lienor may redeem. Redemption: who can redeem after the sale, and how
Redemption period: A window after the sale when certain lienors may pay to protect their position. After the sale: overbids, surplus money and unclaimed refunds
Reinstate: Pay everything past due plus allowed costs so the loan is current again with its original terms. Your options: reinstate, modify, sell, short sale, deed in lieu, bankruptcy basics
Rescission: Cancelling a foreclosure sale. A lender who is the winning bidder can do it within eight business days after the sale. Curing the default: how to stop the sale by catching up
Residence in foreclosure: Your principal home with a residential mortgage loan that is at least 30 days delinquent or in default (or, for buyers, in a started foreclosure). The Foreclosure Protection Act: spotting equity-skimming and rescue scams

S

Servicer: The company that collects your payments and talks to you for the holder. The Colorado public trustee foreclosure, step by step
Servicer: The company that handles your loan account and payments. Curing the default: how to stop the sale by catching up
Servicer: The company that collects your mortgage payments and handles your account. Your options: reinstate, modify, sell, short sale, deed in lieu, bankruptcy basics
Servicer: The company that collects your mortgage payment and handles your account. Free help: HUD-approved housing counselors, the public trustee, and what to ask
Short sale: A sale for less than the loan balance, with the lender's agreement to release its lien. Your options: reinstate, modify, sell, short sale, deed in lieu, bankruptcy basics
Single point of contact: One named person at the servicer who must give you accurate information about help options, usually by the 45th day you are behind. Curing the default: how to stop the sale by catching up
Single point of contact: One person or team at the servicer who must be named to a borrower in trouble, set up no later than the 45th day of delinquency. Your options: reinstate, modify, sell, short sale, deed in lieu, bankruptcy basics
Single point of contact: One named way to reach a person at the servicer who can explain your options. Free help: HUD-approved housing counselors, the public trustee, and what to ask

U

Unclaimed property: Money nobody collected that is turned over to the state to hold for the owner. After the sale: overbids, surplus money and unclaimed refunds
Unconscionable: So one-sided and unfair that a court may refuse to enforce it. The Foreclosure Protection Act: spotting equity-skimming and rescue scams

V

Void: Having no legal effect, as a contract clause that waives your rights under this law. The Foreclosure Protection Act: spotting equity-skimming and rescue scams