Quick Ch7 Home Question

[charredswife]

[IBroke]

"All debts are required to be included in your bankruptcy. However, you stated in your bankruptcy that you would retain the home and stay current in mortgage payments. Therefore, , but you accepted that you would pay and keep the mortgage outside the bankruptcy. Sorry."

Since this statement itself doesn't make much sense to me, it all smells a bit fishy. Maybe one of our experts can chime in.

I thought there is a special document in CH7 where you list the secured debts and tell the court your intention what you're going to do with the loan.

Unless you didn't reaffirm, I can't see how this debt could simply be left out of the entire BK-filing. That would be news to me.

[LSUTiger32]

As long as it was included and you did NOT sign a re-affirmation agreement, you should be fine.

I believe that it doesn't matter that you agreed to keep it on your petition, what matters is did you or did you not sign an agreement to re-affirm the debt.

[IBroke]

As long as it was included and you did NOT sign a re-affirmation agreement, you should be fine.

I believe that it doesn't matter that you agreed to keep it on your petition, what matters is did you or did you not sign an agreement to re-affirm the debt.

That's exactly how I would see it as well.

[charredswife]

It all sounds fishy to us too. WF was sending us "for informational purposes only" bills, which seems to imply they weren't trying to collect a debt, or thought we owed them. Everything we look at online seems to say that a reaffirmation is required, and we never signed any. Does putting our intention as "retain.. and stay current" count as a reaffirmation? If so, can that be changed? I know there's something like a 90-day limit from discharge to add creditors or make adjustments... I think there's still a week or two left before the deadline.

[IBroke]

Does putting our intention as "retain.. and stay current" count as a reaffirmation?

Not that I know. They always ask for a seperate agreement/contract. we all know that an "intention" simply is, well, an "intention" but not an agreement. Since it wasn't re-affirmed, they can foreclose much quicker but in your case, that's obviously not the concern. Without re-affirmation, your liability has been discharged.

[aljohnson007]

Was the property listed on Sched A (Secured Property) and/or C (Property claimed as exempt)? There seems to be a lot missing from this and please try and provide complete details - someone here can help you.

[charredswife]

I believe it was listed under exempt, due to not having enough equity into it (bought for $110k, owed $100k, likely worth $90k). We're trying to track down our copy of everything- as I said, just moved.

[charredswife]

The (government grant assisted) apartment we found to live in is now going to kick us out unless we prove either that we have no equity in the house (owe more than it is worth) or else that has officially been turned back over to the bank. I guess they need to know we're not trying to hide assets. Between our crappy lawyer's office who still hasn't called us, and WF who says we're still 100% responsible, the only thing I can think of is to drive the 240 miles back to the old place, hire a appraiser to say the place is worth $90k, then drive back and turn in that report. Now if I only had money for a ~500 miles trip and an appraisal....

[liz417]

What?!? I have WF mortgage too and in the petition I put the I "intended to stay current"....I thought I had the option of walking away at a later date too...hmmmm, something isn't right here...
If WF mortgage thinks you are 100% responsible, I would ask them for a singed reaffirmation agreement.
Please keep us updated on your situation.

[justplaintired]

Yeah this doesn't make sense. How could you be responsible for your house if it was included in the BK and you didn't reaffirm? I don't get this one at all. Could this be a scare tactic on their part. Easy way should be simply pulling up your petiton on Pacer and confirm whether your petition includes WF. If so and if no reaffirmation papers where signed, then they are basically trying to scare you is my guess. Don't drive 500 miles, log onto Pacer, print it out, showing them they are on your matrix and that it is discharged.

[charredswife]

For some reason, the creditor matrix doesn't show up in Pacer. At least, not where I can find it. We made some amendments to the creditors, and that shows up, but not the original matrix. Other than our lousy lawyer, any thoughts on how I can get that?

[JoePlumber]

[charredswife]

Joe: That makes a scary sort of sense, though it isn't good news at all. There's no paper trail saying we'd have home options afterward; that information was all conveyed during in-person meetings, where we discussed options and how best to file, etc. It's been two days, and they will not return our calls. Will try again today.

The only thing we can think of is that 90-day (pretty sure it's 90 days, really hope so anyway) period after discharge where more creditors can be added. We'd still be just within that period, so if the lawyer will do her job, maybe they can simply add WF on to the actual proper list of creditors, and everything will be like it should have been all along. Sound reasonable?

Otherwise, yeah, we're in for a world of trouble over this.

[mccaverty]

It really seems like, if nothing else, the Trustee at your 341 would have mentioned it...something like, "So, you're *not* discharging the mortgage on your house?" I mean, if it wasn't included in BK, wouldn't it then be an asset that he/she could go after?