Loss Mitigation during Chapter 13

[klandsb]

My attorney suggested I apply for Loss Mitigation program for my 1st & 2nd mortgages. I am 3 yrs into a 5yr plan and so far everything is going good and I really dont want to rock the boat but I also would love to lower my interest rate on both loans B4 I get out of the bk. There was a meeting held on 1-31-13 & I have been anxiously waiting to hear if the creditors are interested in a refinance or not.
Does anyone have any experience with this ??????? I hate to get my hopes up & then it not come thru.

[klandsb]

[QUOTE=klandsb;593936]My attorney suggested I apply for Loss Mitigation program for my 1st & 2nd mortgages. I am 3 yrs into a 5yr plan and so far everything is going good and I really dont want to rock the boat but I also would love to lower my interest rate on both loans B4 I get out of the bk. There was a meeting held on 1-31-13 & I have been anxiously waiting to hear if the creditors are interested in a refinance or not.
Does anyone have any experience with this ??????? I hate to get my hopes up & then it not come thru. My main reason for filing BK was credit card debt and creditors threating too sue me. Both of my mortgages were up to date when I filed and the trustee makes all my pmts. (love it)..

[Pandora]

Sorry, cant help you with the Loss Mit program as we were told to secure any modifications prior to filing.

I did read however, that for PA you had to file prior to the end of 2012 if you're already in a plan. Dont know if they modified the date or not, but from what i'm reading, it was the end of 2012.

Question: usually Loss Mit is used if you're at risk of losing your house or cannot afford the payment; are you either of these? If you're simply trying to get your interest rate reduced, have you asked your lenders directly if they'd be willing to work with you prior to you filing ch. 13?

[klandsb]

Yes Pandora I am in PA & I filed it in NOV 2012... They required alot of paperwork, tax returns, pay stubs ect... Then they had till 1-15-13 to object & a meeting was held 1-31-13 that I didnt have to attend ... I got a package from my attorney yesterday but really havent had time to go thru it. Just reading the 1st page I cringed because the attorney is asking for the same long list of paperwork again along with a letter stating my hardship ...Might have to lay it on thick..ha,ha... Anyway, sometimes I think the attorneys are trying to get more money out of me knowing there isnt much chance of it working... Will See & thanks for responding