Question? Nightmare scenario.

[bksmith12345]

Hi All,

We filed 12/31/08. 341 was 2/10/09. Confirmation hearing was 3/5/09. Countrywide asked for an adjourment because of our lien strip. They also hold the first. New confirmation date is 5/7/09.

Our proposed plan is $320 per month for 60 months. It includes our 4th quarter town taxes, 2 months 1st mortgage payments, 2 months car payments and 5 John Deere payments. They were all in arrears.

We have approximately $160,000 in unsecured debt. The lien strip is $75,000. We have been paying on time the trustee, 1st mortgage, both cars and the John Deere. We have paid our town taxes in full for the year.

My question is this: What happens if the trustee dismisses our case? For whatever reason. I guess the unsecureds and 2nd mortgage will come after us like starving piranas let loose in pool full of people. I guess we would lose the house and get sued up the wazoo.

Has anyone unfortunately experienced this? Or, know of anyone who has? This is the scary part of all this. Anytime during the plan you could possibly get dismissed. Any input would be greatly appreciated.

Thanks.

[lrprn]

Your case won't be dismissed. Your lawyer and your mortgage lender's lawyer will first try to come to an acceptable resolution before your new confirmation date.

If the mortgage lawyer and your lawyer can't reach an acceptable compromise before the next confirmation date, the date could be extended again or all parties will set a date to go before your local bk court judge and he/she will make a ruling on whose legal position is stronger - this can take a long time.

Regardless of how long this process takes, you just keep making your current monthly payments. Your case will be confimed eventually, so hang in there.

[EricaCallaha]

I agree. This happened to a friend of mine (similar situation) and it took almost 2 1/2 years to confirm. Sit tight.

Good luck.