Mortgage Loan Mod Before Filing

[spearmint]

If someone does a loan mod on a home mortgage and it's completed before filing, can the bank do anything after filing?

[lrprn]

What are you worried the bank might try to do after filing?

[IBroke]

If someone does a loan mod on a home mortgage and it's completed before filing, can the bank do anything after filing?

I doubt it. Why should they do anything and what?
We're currently in a modification that makes Chapter 13 an option in the first place AND probably allows us to strip the second.

IMO, such a modification is also in the best interest for the bank. If your new loan becomes more affordable, you're more likely to keep the house/stay current on your mortgage/Chapter 13 plan.

BTW, as far as I know, according to current law, the BK doesn't affect your mortgage at all (there might be a change in the making - but not yet). I don't sea problem..

[spearmint]

My attorney suggested I complete the loan mod BEFORE filing, which I am trying to do but the bank is so backed up at the moment, because banks can be awkward about such things after you file.

My concern is that if a loan mod is completed, say, a few weeks before filing, they try to take my home afterwards.

[IBroke]

My concern is that if a loan mod is completed, say, a few weeks before filing, they try to take my home afterwards.

If the modification goes into effect and you stat current, there is NO legal ground for the bank to take your home, no matter if you file CH7 or 13.

Mortgages are secured loans and under current law, 1st mortgages CAN'T be modified by a judge in the first place, so everything stays the same.

If the modification is comleted, it's completed.

They can't take your home as long as you make your payments due under the modification. TRUST ME!

[spearmint]

If the modification goes into effect and you stat current, there is NO legal ground for the bank to take your home, no matter if you file CH7 or 13.

Mortgages are secured loans and under current law, 1st mortgages CAN'T be modified by a judge in the first place, so everything stays the same.

If the modification is comleted, it's completed.

They can't take your home as long as you make your payments due under the modification. TRUST ME!

Just for kicks, what happens if you do not stay current while in Ch13?

[lrprn]

Just for kicks, what happens if you do not stay current while in Ch13?

If you are paying the mortgage yourself and miss making even one mortgage payment on time, the lender can file with the bk court to remove the automatic stay and start foreclosure proceedings.

[EricaCallaha]

All the more reason to pay on time...everytime.

Good luck.

[Mi Bankruptcy]

If you plan on keeping your home you may want to consider setting up auto pay for your mortgage. I set mine up for the day before it's late. I also put over draft protection on my checking account just in case something happend and I didn't have the money in the account. It would cost me $30.00 in overdraft fees, only if I didn't have enough. However, cheaper than foreclosure and the stress and my house payment has never been late.

I hate autopay for anything but I just looked at this way. I always want some place to live. It cost me money in overdraft fees but saved my butt in the end.