Chapter 7 over a year ago

[jtsmith]

My wife and I filed over a year ago due to me being laid. I have been reading the BK papers front to back, no where in those papers does it say that my house mortgage was not included. There is no reaffirmation form other than the one we filed out for the truck loan that we were keeping..My credit report shows no balance on the mortgage.
Here is the funny thing. Citimortgage just sold this loan to a company called IBM.. How is this possible and does this mean that it has been reaffirmed?
Thank you

[researchnerd]

Our Citimortgage just got moved to IBM too. Your mortgage hasn't been sold, just assigned to IBM as a mortgage servicer -- they send out the bills and administer stuff like escrow. I suspect they are outsourcing most of their IIB mortgages.

This does not necessarily mean that your mortgage has been reaffirmed. When a mortgage is included in a BK, it discharges your legal obligation to pay (that's why it shows as $0 on your credit report) but not the security deed (the legal instrument used to secure debt with collateral). I'd think that if there was a reaffirmation, you'd have a copy of it in the BK paperwork. Have you asked your attorney about it?

[keepinitreal]

When your mortgage is not re-affirmed, you still have a mortgage and it can still be sold to another lender. By not re-affirming, you made sure you wouldn't be held personally liable if you stopped paying the mortgage in the future.

So, it looks like your credit report is correct, since they're not reporting your payments due to the loan not being re-affirmed.

Also, it's fine that your loan has been sold to another lender.

[tcreegan]

Hi jtsmith,

No reaffirmation if you didn't sign a new contract w/ the mortgage lender. Mortgages get bought and sold all the time, no big deal...

Tom in Colo

[mrslick]

hi all, i converted my case to chapter 7 last month due to a big decrease in income. my case is like this, i'm 3 months behind on my mortgage and i just got my loan mod docs. my mod is very similar to others except on the 7th year the rate will be 4% and will remain at that for the rest of the term. the only problem is, the bank is requiring me to get court approval before the mod is clomplete. my attorney talked to the trustee today and she said that that would not be a smart move to have the court approval and my attorney agreed with her. i'm not upside down on my house, i still have about $50k in equity even in this housing crisis. my first question is, does court approval means that i have reaffirm the mortgage? second, my attorney seems to be concern about his liability if he represent me if indeed the court approval the bank wants is reaffirmation, i thought attorney suppose to do what's best for the client? my Wife and I both want to keep the house. third, did anyone of you needed court approval to get the loan modify? Please help, my 341 meeting is this monday. Plus i like the idea of reaffirm the house, so that we will at least have something good on our credit. even if in the future something happen where we can afford the low mortgage payment, we can sell the house and payoff the mortgage. is it upto us to push the reaffirmation if the trustee and my attorney don't want to do it?