Who here has settled a 2nd after a ch7?

[pcn]

[justbroke]

The silence is deafening.

[JRScott]

I didn't think you could lien strip in a chapter 7, I thought that was in chapter 13.

[justbroke]

JR, this is about the "back door" lien strip, where you don't reaffirm the 2nd, and then negotiate a lump sum payoff.

[pcn]

The silence is deafening.

Yep. Silence isn't golden in this case, to me.
There are a few people over on the Foreclosure forum who claim to have done it, so I was hoping they might see this somehow and comment. There was one here in the ch7 that did it a while ago - I was hoping there were more. Maybe they all were so successful and are having so much fun in their new debt-free lives that they don't have time to come back here to visit!! No, really, it could happen...

[justbroke]

It could happen, but just like the phantom "short sale", they are far and few between.

[pcn]

I'd at least like to hear from those who thought they could try it and failed, though, if that is what actually happens. No feedback is almost worse than limited feedback with only a few good responses.

[pcn]

Here is one from over on the Foreclosure forum.

http://www.bkforum.com/showthread.php?p=288654#post288654

There have to be some positive experiences. Don't make me be the Guinea pig just for spite.

[relief13035]

Oppps - I think I was supposed to chime in on this one.

Here's the lowdown with us: Both 1st mortgage and HELOC are with CitiMortgage.

I waited (1) month post discharge and contacted the Executive Response Team @ Citi. I was NOT late at all on this loan. The loan modification was approved on the 1st = incredible interest rate & terms!!! We already received the "trial period paperwork" and our new payment begins 7/2/09. NOTE: this trial period does not reaffirm my mortgage. During this trial period, if we make our payments on time each month, THEN they will draw up docs to permanently modify my 1st.

NOW THE HELOC:
The same person at Citi is handling my settlement offer. We offered 10% settlement on a balance of $123k. I talked to Citi yesterday afternoon and was told that I should be accepting my approval of the settlement very soon. Apparently, the 2nd was waiting to see if the 1st was approved. WHICH IT WAS!!!

Long story short - I am in the process and so far it looks like I am succeeding unless they are lying to me???? Hope this helps - I will continue to update.

[relief13035]

P.S. - forgot this part: We have not been making the payment on the HELOC and are currently 4 months late. This seems to be playing in my favor.

[pcn]

Sorry to bother you with questions probably already asked and answered. I thought loan mods didn't happen after the discharge. Maybe I have that completely backward though. Something about since the bk is discharged they aren't allowed modify the debit. Steer me straight please, if you can. I've probably read too much, but enough to be confused. Thanks!

[relief13035]

I promise you are not bothering me. If I can be of help to even (1) person I will be thrilled. So many people helped me - it's time to give back.

I'm not sure about Bank of America, but CitiMortgage would not do ANYTHING for me until I was discharged. In fact, I had to fax them my discharge paper.

[albacore44]

I promise you are not bothering me. If I can be of help to even (1) person I will be thrilled. So many people helped me - it's time to give back.

I'm not sure about Bank of America, but CitiMortgage would not do ANYTHING for me until I was discharged. In fact, I had to fax them my discharge paper.

well soon as I'm complete i'll be hitting you up on who to contact. Btw- not sure if you disclosed terms is/was int rate and years, original type of loan etc.

[relief13035]

Original Loan Details: I have a 15 year mortgage with only 12 years left to pay with interest rate of 4.875%.

My new terms:

Years 1-5 = 2% interest rate
Year 6 = 3% interest rate
Years 7-12 = 4.875% interest rate

My payment went down approx. $500/month for the next 5 years. Praise God.

[relief13035]

Albacore - you are also with Citi right???
I'll get you right to the Executive Response Team - you won't have to hassle with loss mitigation. Straight to the TOP baby....