I screwed up...........

[Pjmax]

So glad you have a caring lawyer. Now, go do something nice for yourself. Pour a glass of something, soak in the tub and chill. And yes, please let us know how it's going.

[becky20]

Great news, I'm so glad. What a weight off your shoulders!

[spidge]

Man, and here I am worried that I am supposedly one payment down.

Good to hear of the different solutions. I may end up using one of those for our situation.

mdl, please be sure to check back with updates.

[mdl]

I have a another question. I spent almost an hour on the phone last night with a Hope Now counselor, going thru the budget process, ect.

We then had a conference call with someone from BOA. Of course, they wouldn't say much because he said he had to have consent from our attorney, which we figured would be the case.

He did tell me all the things we would need to submit for a loan modification. After researching some more, the only thing I would be interested in is an FHA PARTIAL CLAIM, where we get an interest free loan until the end of our mortgage and then we pay the $7000 back. I am NOT interested in refinancing and since its FHA there is not loan forgiveness, which I don't want anyway.

I am so tempted just to get my attorney and the BOA attorney to agree to roll this into our existing 13, and let it all be done in 3 years. We are already 2 years in, have paid almost $25K and nothing was going to our unsecureds anyway. It was all taxes and my car.

My attorney said that my payment could go up about $90 (I figured $200).......I can find a way to come up with the additional. Our mortgage is 4.25% and we are WAAAAAAAAAAAY under the 31% threshold.......

Would it be stupid just to say lets do this simple, avoid all the paperwork involved in a modification and just be done with it in 3 years.

Part of it is my fault for not prioritizing my house payment FIRST.......

[despritfreya]

Not stupid IF you can afford it.

My guess is that once you are back on track there would be nothing stopping you from trying a loan mod. Many of my 13 clients go through the process regardless of the Chapter 13 Plan. For the few who are successful, the Chapter 13 Plan changes at that point.

Des.

[sophieanne]

Not stupid IF you can afford it.

My guess is that once you are back on track there would be nothing stopping you from trying a loan mod. Many of my 13 clients go through the process regardless of the Chapter 13 Plan. For the few who are successful, the Chapter 13 Plan changes at that point.

Des.

Hi Des, isn't it impossible to do a house modification if you are in a 13 and your house is underwater??? I'm in a 100% plan and pay my mortgage outside the plan (even though it's part of the plan). We have an ARM where the rate is very low but i'm scared that it could change as time goes on and would love to get a modification. Any thoughts on this??? We can't get a HARP modification because of the bankruptcy and we can't modify because we're underwater.

Thanks for any response you can provide.

[spidge]

I am underwater and modified twice, but both times were done before the BK13 filing. The 13 leaves you out of many programs, but your lender may have a solution. That also depends on other factors like the actual investors on the loan. Your mortgage company may only service the loan.

[despritfreya]

HAMP not HARP, which is a refi program, can be done while you are in a 13 if you otherwise "qualify". HAMP guidelines specifically allow this. Off the top of my head I can think of four clients who successfully modified under HAMP while in the 13. One of them had arrears in the Plan. Once the modification went through the lender amended the proof of claim to remove the arrears and I modified the Plan to reduce overall funding (client needed to stay in 13 for other reasons). And all of these folks were and still are underwater.

I also have two clients right now who were attempting to modify while in the 13 but who have just (and I mean just, like yesterday and today) been told their loans do not qualify for the "program". Both are with BOA and almost every day I was getting a fed ex letter from the lender which I then sent to the clients. (We do not handle loan mods so they were doing it on their own - as far as I know.)

You might want to check out some of the info at www.loansafe.org. BE CAREFUL. the ".org" does not mean it is a "not for profit". Quite the contrary, but there is some good info to be found.

Des.

[sophieanne]

Thanks Des...I will check that website out. As always your response is extremely appreciated.

[mdl]

Ok, an update........
It actually made me feel good to make my September payment ON TIME! I didn't have to go to court. The attys had a telephonic meeting and they told the judge it was worked out. The arrearages will be added in and I just had to start with Sept. Even BOA is nice to deal with. I called on Monday to make payment and they told me it would take 24-48 hours to get "approval to accept payment". That kinda worried me so I called back and got someone to explain it to me. They said that their BK tech had to make sure the order was in the system. Well, I guess it is, because they accepted it on Wednesday. We have to wait to pay with DH's SSDI because all the trustee payment comes out of my bi-weekly check, which leaves me a couple of hundred short of the payment. The BOA person made a note that our payments will be made on the second Wed. of each month. Still don't know if my payment will go up - I don't think it will because of what we are paying, which is all secured and priority with nothing to CC....
Anyway, I am broke, but I will survive until next Friday payday...........From this point on, I don't care if my utilities don't get paid - the house is first.....I just feel blessed in a way that I was able to work it out. Its really really hard being the one taking care of everything on your own.

But on a side note, we are 1 week away from 6 years post-stroke survival, so what the hell is a little bankruptcy??!!!

[mdl]

Oh, and I also decided not to pursue the modification. I would just as soon have all this end when our 13 ends. 36 months is better than all the crap to refinance......

[AngelinaCat]

Congratulations! Thanks for letting us know how this turned out! More importantly, Congratulations for the six years past the stroke!

[dmc-2008]

I am so happy to hear this!!!! Keep going the end will be worth it!

[mdl]

Update 2......Dangit, I just thought they would forget about me! Got a letter today from atty stating my payment would go up $120 a month to make up 10 months of arreages.
He had originally said $90 a month.....so I guess that $29 a month SSDI increase DH got as well as a $31 a month decrease in his Medicare advantage, all I have to come up with is $60 a month.........but it didn't say when it starts....letter was dated Nov 13th, so I guess it starts December 1....

[AngelinaCat]

When our trustee offered to let us buy back our non-exempt stuff from the BK estate, rather than send it to auction, the price he set, he expected us to pay the first installment on the first of the following month. So I would say that you are correct in assuming that your increase starts December 1.

Sorry to read that....