When to make an offer on my second mortgage?

[Ann]

All,

Had my 341 meeting a few weeks ago. My payment for my second mortgage is due this Friday. Next month will be the last of my modified mortgage payment that was offered to us last year. We owe $67,000 on this loan and roughly $191,000 on our first mortgage. Our home is worth maybe $180,000 - $190,000 (and that is a maybe) . We want to get rid of the second mortgage altogether. My question is when would be a good time to offer a settlement? Would it be best to wait until our discharge which will be at the end of August? Also, I don't want to make the full payment when the modification runs out. I think that is throwing good money away. I know no one here can say not to make a payment because they could foreclose but if this were your situation what would you do? Yes, we do want to stay in the house. We did not reaffirm our mortgage. Thanks to all who reply!

[iv65536]

Part of the situation on the second is that their loan is totally unsecured. As a result, they would have no reason to expect a payout should they try to foreclose. I made the same point to the second on my home.

They will probably complain about the lack of payment, but the way I see it, if the valuation of the home relative to the first is as it stands right now, you have some negotiating leverage once you have your discharge.

I was discharged in February. I started getting "monthly information statements" containing disclaimers that they were not attempts to collect a debt. I stated the following: "Notwithstanding the disclaimers, I do consider them to be attempts to collect a debt that has been discharged. Please cease and desist with all mail and phone contact immediately unless such contact is solely for the purpose of compliance with applicable federal, state, and/or local laws and/or regulations, or if you are specifically replying to a proposal or inquiry I submit." I further stated that any contact for any other purpose will be treated as a discharge violation.

[albacore44]

I stopped paying HSBC right after my 341. Through the whole process they never acknowledged my BK filing and were calling me the whole time. i told them over and over that i was in BK and you are in violation (nicely) they just said we will note the account. after my discharge, i noticed on my CR they had closed my account. i told 2 more callers, finally 2 weeks ago I think they figured it out, and i havent received another call, they still send me statements though, 90 days late blah blah blah...........i think they are retarded

[Ann]

I stopped paying HSBC right after my 341. Through the whole process they never acknowledged my BK filing and were calling me the whole time. i told them over and over that i was in BK and you are in violation (nicely) they just said we will note the account. after my discharge, i noticed on my CR they had closed my account. i told 2 more callers, finally 2 weeks ago I think they figured it out, and i havent received another call, they still send me statements though, 90 days late blah blah blah...........i think they are retarded

albacore, are you going to make an offer to settle on your second?

[albacore44]

albacore, are you going to make an offer to settle on your second?

It's their move. No hurry. House is underwater, and everything for sale in my neighborhood is a Foreclosure, so values arent going up anytime soon. I'll wait for them to send me something.

[Ann]

Would anyone suggest I get an appraisal on my home before I start this process of wanting to settle?