Many times it is possible to halt any foreclosure processes by using mortgage principal reduction. The basics of principal reduction are used by reducing the principal on the loan so you can reduce your monthly payments. Generally the longer the loan term the more interest you are paying over the term. However if you can get lower interest by extending the term then more of your monthly payments are going to paying of the principal of the loan.Basically when you pay off your mortgage a portion of that monthly payment will pay off the interest and a portion will reduce the principal. At the start of your loan the greater percentage will pay off the interest but as the length of the loan goes on you will find more and more of that payment is going towards the balance. You should be able to get an amortization table to see the breakdown of your mortgage payments.If you can add a few additional principal payments, or pay slightly more than your minimum payment each month then you can reduce the principal on the loan faster. If you are including additional principal payments with your regular payment then you need to notify your bank as how the payments should be applied. If you do not provide instructions then your bank may not apply all the funds to the principal.Refinancing if a good idea if possible as you can get lower interest rates which in turn means more of your monthly payments are going towards paying off the principal. There may be some additional costs involved with refinancing but you can easily include them into the new amount of the loan.If you have the option you should see about making biweekly payments as you will be making one extra payment a year. In the long run you will save thousands of dollars by doing this and can decrease the length of your loan by up to 6 years.