We filed a chapter 7 BK in early June in Indiana, and should be discharged in a few weeks. We intend to keep the house, which was financed with an FHA loan through Wells Fargo. We originally intended to reaffirm, as our attorney told us that is what we would be doing, and I didn't know it was at all possible to keep the house without reaffirming, until I started researching the subject online.
I have a few questions ~ I know, I should ask my lawyer, but he isn't the best at answering my questions, and has actually said he didn't know in response to a couple of these that I did ask. For anyone else who has their mortgage with Wells Fargo ~ did you reaffirm, or have you been successful so far in not reaffirming, and simply keeping your payments current?
If we don't reaffirm: Our monthly payment includes the homeowners insurance and property taxes ~ so will Wells Fargo continue to pay these out as usual, or will we have to make new arrangements for that? One of the exemptions we have on our property taxes is a mortgage exemption ~ will we be able to keep that exemption? Would there be any reason for the insurance to go up simply because we didn't reaffirm? From what I have read, it sounds like everything basically remains the same with your mortgage if you don't reaffirm, just as long as you keep paying. It just makes me a little nervous not to legally reaffirm this loan, but I do understand that it is not necessarily in our best interest to do so.
It took Wells Fargo forever to even send the reaffirmation agreement out, and that was only after a couple of promptings from our attorney's office, so it doesn't seem like they were too concerned about it. I guess that in addition to answers to my specific questions, I am looking for a bit of reassurance that it will be safe not to reaffirm, and that we will be able to stay in the home with no problems from the lender. I greatly appreciate anyone sharing their experience on this subject, and have learned so much from reading this forum.
I have a few questions ~ I know, I should ask my lawyer, but he isn't the best at answering my questions, and has actually said he didn't know in response to a couple of these that I did ask. For anyone else who has their mortgage with Wells Fargo ~ did you reaffirm, or have you been successful so far in not reaffirming, and simply keeping your payments current?
If we don't reaffirm: Our monthly payment includes the homeowners insurance and property taxes ~ so will Wells Fargo continue to pay these out as usual, or will we have to make new arrangements for that? One of the exemptions we have on our property taxes is a mortgage exemption ~ will we be able to keep that exemption? Would there be any reason for the insurance to go up simply because we didn't reaffirm? From what I have read, it sounds like everything basically remains the same with your mortgage if you don't reaffirm, just as long as you keep paying. It just makes me a little nervous not to legally reaffirm this loan, but I do understand that it is not necessarily in our best interest to do so.
It took Wells Fargo forever to even send the reaffirmation agreement out, and that was only after a couple of promptings from our attorney's office, so it doesn't seem like they were too concerned about it. I guess that in addition to answers to my specific questions, I am looking for a bit of reassurance that it will be safe not to reaffirm, and that we will be able to stay in the home with no problems from the lender. I greatly appreciate anyone sharing their experience on this subject, and have learned so much from reading this forum.
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