Hey guys. I haven't seen any situations like mine on here so thought I'd post and see if anyone had any insight. 5 years ago we refinanced with a balloon mortgage. Big mistake! In that 5 years our credit tanked due to unexpected expenses. When we called to see what we could do our loan had matured and they wouldn't do a modification. So we tried to refi but we were denied, obviously, because of our abysmal credit. No one would refi. Then we get the letter from our lender giving us 30 days to pay the lump in full or they would start the foreclosure process. Our last option was a BK attorney.
On 2/5 we filed chapter 13. Our attorney didn't make us any promises but said his first step would be to try for a loan mod. He said being in BK and having him working on it for us gives us some leverage....but again...no promises. Is it even remotely possible for a lender to agree to a loan mod in this situation?
This past week we received a letter from the lender stating that even though we are protected by bankruptcy and not liable for the debt they still have the right to foreclose. But if we would like to continue to make payments we can send a payment to the listed address. What payments are they looking for? The amount we used to pay? The full lump sum? We emailed the letter to our attorney and he said he would get back to us.
I know these things take time to work on but time is just dragging! And im afraid of whats happening while we sit here waiting to hear something.
Thank You for listening!
H.
On 2/5 we filed chapter 13. Our attorney didn't make us any promises but said his first step would be to try for a loan mod. He said being in BK and having him working on it for us gives us some leverage....but again...no promises. Is it even remotely possible for a lender to agree to a loan mod in this situation?
This past week we received a letter from the lender stating that even though we are protected by bankruptcy and not liable for the debt they still have the right to foreclose. But if we would like to continue to make payments we can send a payment to the listed address. What payments are they looking for? The amount we used to pay? The full lump sum? We emailed the letter to our attorney and he said he would get back to us.
I know these things take time to work on but time is just dragging! And im afraid of whats happening while we sit here waiting to hear something.
Thank You for listening!
H.
Comment