What action constitutes a loan modification according to Florida law?

A loan modification, according to Florida law, specifically refers to any alteration of the terms of an existing loan. This can include adjustments to the interest rate, payment schedule, or other contract stipulations that help the borrower meet their payment obligations. The primary goal of a modification is to make the loan more manageable for the borrower, potentially preventing foreclosure and maintaining homeownership.

While a complete refinance of the existing mortgage indeed involves changing the loan structure, it is not categorized as a loan modification but rather a new loan entirely. Reducing the loan balance and extending the loan period may be elements of a loan modification, but they are not sufficient on their own to define the general concept of a modification. Therefore, the most comprehensive and correct definition of a loan modification in this context is the change to terms of an existing loan.