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Can I Get One of Those Free Money Grants to Pay My Mortgage While I’m Disabled? – Dwayne

Written by Steve Rhode

Question:

Dear Steve,

Had three strokes (two last year) and waiting on disability to make their judgment…fired from job back in January (they claim for safety reasons…I was a machinist). No 401K left and unemployment is gone.

Long story short, I have had 3 strokes and waiting on disability claim to be finalized. But I still have debt. My last job fired me claiming safety reasons (I was a machinist).

I didn’t live above my means and good thing. I have a 3 year old and now a 1 year old. I used my 401K to pay of everything except my house because I didn’t have enough to do it, otherwise I would have. Anyway, the house is the only thing left and I am about to get behind in that.

I have no other resources left to call upon and I keep on hearing about grants (I can’t get a loan without a job, so the HARP loan isn’t an option now), so where are these so-called grants at?

I could use some type of help before I really get into trouble which will be soon! Please help me if you can!

Dwayne

Answer:

Dear Dwayne,

I wish you had contacted me when this all began. I would have given you some different advice to protect the 401(k). Anyway, that’s now water under the bridge.

The best way to look for public benefits would be at Benefits.gov. Until your disability determination goes through you are not eligible for many programs. But you could start contacting any disability programs in your state to see what, if any, benefits you might be eligible for with your disability.

You should also contact your local public housing authority to ask if you are eligible for any HUD voucher program. You can also contact a HUD approved housing counselor for some assistance as well to see what you may be eligible for through HUD.

Another resource that may be able to provide you with some assistance is Catholic Charities.

While you are looking for grants, a grant is typically money that is given without any expectation of repayment. While you hear a lot about such programs, I’ve yet to ever see a long-term solution like that.

Until your disability claim is processed you might want to think about selling the house and using any equity from the sale to live on. Alternatively, if there is something holding up your disability claim and SSI income, then legal assistance from an attorney that specializes in such issues is always a good idea.

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About the author

Steve Rhode

Steve Rhode is the Get Out of Debt Guy and has been helping good people with bad debt problems since 1994. You can learn more about Steve, here.

1 Comment

  • Depending on the state of residence, there may be assistance available from the Hardest Hit Fund. In NC, we can help clients determine if they could qualify for for mortgage payments or principal balance reduction. Alliance Credit Counseling, http://www.knowdebt.org

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