Foreclosure after in 13-Help Please
I need your help if any of you can offer any help at all. Long facts, but basically here it is:
I filed 13 after being off work for several months. During that time, was late on both first and second. The past due amount was put in the plan, the mortgages were paid outside the plan (1st 340k, 2nd 90k, house worth less then 190K now, based on two other foreclosures that are on the market in my neighborhood!)
Right before Christmas my sister was laid off and almost lost custody of her son, she had to move, etc, so I was helping her with those expenses (she is chronically ill and the last thing she needed was a custody dispute with the jerk). I fell behind on the house payment as a result, then in January, the IRS hit me with a bill for 2007, which I had estimated in my plan, but because I didn't know how much, they didn't pursue. They said start an outside repayment plan or they would garnish my wages by February 1 ( apparently the stay does not apply to the IRS). So I gave the IRS money out of what I was to pay the trustee, and got behind with him, then got his notice to dismiss for March 2, proposed a two month catch up which he accepted. However, .....
When I first filed BK, the first mortgage holder (Chase) wouldn't take the payment from me. I discussed it with the trustee at the hearing and they said start paying it. I did, but it was already two months late then and as soon as the plan was approved, Chase sent me a pay it or else letter, then volunteered to break up the payments over six months. The last extra payment was also due at the time I was getting my sister moved, etc.
My problem is that at the time the six month agreement with Chase was approved, I had to sign a "Stipulated order for Adequate Protection and termination of automatic stay upon non-payment." Now that I fell behind again, I got another letter from them saying I had ten days to make the last installment and the payment for January (that is late) as well as February, which is not late yet, and if I don't pay everything within 10 days, they will "submit an order to the court to allow us to commence foreclosure/eviction proceedings on your property."
I was getting back on track, tried to explain this to Chase, but they said as long as the trustee might be dismissing, they had to file their motion before the date of the motion of the trustee, because if not they would have to refile everything in another court. I told them I had caught up with the trustee and there would be no hearing on March 2, and called the trustee to confirm this, and was told that the Motion WOULD be on March 2, but would then be continued for 30 days, and every thirty days thereafter to make sure that I was on time. If I ever fell behind again, they would already have the motion ready to be heard to dismiss, because "debtors can't be trusted to make their payments."
I just want to cry. After everything, I feel like I am drowning with no end in site. My question is this:
1. I can't pay Chase everything they want, so fine, they can take the house and I will walk away, but if I do, what happens to my plan, I have read that they move to dismiss the 13, but it seems that their papers are to just ask the court to begin foreclosure.
2. I found a house to rent that is less then what I am paying on the mortgage, but the difference will be less then the actual amount because I was taking 9 deductions, and now will have to take 0 because of no mortgage write off, will the trustee take that into account ( 0 deductions vs. 9)?
3. Do I have to do anything to change the plan, or will the trustee just notice something once he knows taht the foreclosure takes place?
Thank you so much!!
I filed 13 after being off work for several months. During that time, was late on both first and second. The past due amount was put in the plan, the mortgages were paid outside the plan (1st 340k, 2nd 90k, house worth less then 190K now, based on two other foreclosures that are on the market in my neighborhood!)
Right before Christmas my sister was laid off and almost lost custody of her son, she had to move, etc, so I was helping her with those expenses (she is chronically ill and the last thing she needed was a custody dispute with the jerk). I fell behind on the house payment as a result, then in January, the IRS hit me with a bill for 2007, which I had estimated in my plan, but because I didn't know how much, they didn't pursue. They said start an outside repayment plan or they would garnish my wages by February 1 ( apparently the stay does not apply to the IRS). So I gave the IRS money out of what I was to pay the trustee, and got behind with him, then got his notice to dismiss for March 2, proposed a two month catch up which he accepted. However, .....
When I first filed BK, the first mortgage holder (Chase) wouldn't take the payment from me. I discussed it with the trustee at the hearing and they said start paying it. I did, but it was already two months late then and as soon as the plan was approved, Chase sent me a pay it or else letter, then volunteered to break up the payments over six months. The last extra payment was also due at the time I was getting my sister moved, etc.
My problem is that at the time the six month agreement with Chase was approved, I had to sign a "Stipulated order for Adequate Protection and termination of automatic stay upon non-payment." Now that I fell behind again, I got another letter from them saying I had ten days to make the last installment and the payment for January (that is late) as well as February, which is not late yet, and if I don't pay everything within 10 days, they will "submit an order to the court to allow us to commence foreclosure/eviction proceedings on your property."
I was getting back on track, tried to explain this to Chase, but they said as long as the trustee might be dismissing, they had to file their motion before the date of the motion of the trustee, because if not they would have to refile everything in another court. I told them I had caught up with the trustee and there would be no hearing on March 2, and called the trustee to confirm this, and was told that the Motion WOULD be on March 2, but would then be continued for 30 days, and every thirty days thereafter to make sure that I was on time. If I ever fell behind again, they would already have the motion ready to be heard to dismiss, because "debtors can't be trusted to make their payments."
I just want to cry. After everything, I feel like I am drowning with no end in site. My question is this:
1. I can't pay Chase everything they want, so fine, they can take the house and I will walk away, but if I do, what happens to my plan, I have read that they move to dismiss the 13, but it seems that their papers are to just ask the court to begin foreclosure.
2. I found a house to rent that is less then what I am paying on the mortgage, but the difference will be less then the actual amount because I was taking 9 deductions, and now will have to take 0 because of no mortgage write off, will the trustee take that into account ( 0 deductions vs. 9)?
3. Do I have to do anything to change the plan, or will the trustee just notice something once he knows taht the foreclosure takes place?
Thank you so much!!
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