settling a 2nd after discharge

[dm415]

Anybody have any tips on how to attempt a settlement on a 2nd that has been discharged not reaffirmed?The 2nd is about $30,000.00.Should I stop paying them for a few months,then try?What should I say in a letter?It was an 80/20 purchase.Right now the house isnt worth the 1st amount.Its a gamble I know,but I need to try now while values are down.The house needs some work also.So getting rid of 2nd could help me justify putting some money into the house.I wouldnt be upside down so bad.I am saving cash for this.Also I have thought about going for an fha loan on a different home all together when I get to the 2 year mark(7 months away)

[relief13035]

Who's your lender on the 2nd?

[dm415]

Amtrust bank,I dont know if they just service it or what.Have you tried this,I have seen your past post.Any advice??

[azguy]

I just filed my Ch 7 TODAY. My goal is to do the exact same thing... try to settle with the 2nd (assuming I have the funds by then) after my case is discharged. My 2nd is with Wells Fargo. Previously, when I went behind on payments, they were BEGGING me to settle with them. I'm very open that they'll be up for it this time around... but it all depends on if my 1st will do a loan mod as well. The 1st is upside down completely too... please keep me posted on this, and I'll do the same.

[relief13035]

dm415 - I am researching contacts for Amtrust for you and will reply if I find anything.

I was very successful in getting a loan mod on my first.
I've devoted a lot of time on the HELOC settlement - I am determined to make this work.

[azguy]

Are they giving you any kind of indication as to what % they would settle for at this point?

[relief13035]

Are they giving you any kind of indication as to what % they would settle for at this point?

I offered them 10%. Told them "accept that or get nothing".
They know I am not messing arround because I am over 4 months behind - on purpose.

[dm415]

Thanks( relief)for the info,keep me posted.By the way how did you start the process with your 2nd,by phone or send them a letter,I really cant say I cant afford to make the payment on the 2nd,I would like to just stop making the payments,then offer them like 10% to settle it.Or they can have the house.I really cant see them foreclosing.

[relief13035]

I started the process in a very wild and random way...LOL

My loan is with Citi. The first thing I did was googled to find email addresses for the top dogs. Then I sent out my hardship letter with my offer of 10% settlement out to 26 people at Citi. Guess I figured it would get the attention of someone. Obviously it did because I got a call the very next morning!

I got the attention of the Executive Response Team. I bypassed loss mitigation and all those other nonsense departments.

[cheekybegr]

Reaffirm / modify / settlement

I am also going through the same with GMAC it too a year but I received a loan mod on the first and an offer to settle on the second. I went thorigh CH7 and kept my home they refused to modify earlier this year and I went into foreclosure they. Because the loans were not reaffirmed they refused to modify even though they were the ones who would not reaffirm. Do you think I have to pay on the second? why would they offer a settlement

[dm415]

Who started to foreclose? 1st or 2nd??