Need advice PLEASE

[helpinflorid]

Ok we filed Chapter 13 in April 2009, converted to Chapter 7 in Oct 2010. We will be discharged Feb 15 2011. Can we refile Chapter 13 to keep our home? We were in arrears is why we filed 13 in 2009, things happened & the trustee didnt post all our payments and threatened to dismiss our 13, so our lawyer said it was best to convert to 7 and discharge all medical and credit card debt. Ok we our giving our truck back as part of the 7. We do not want to lose our home. We have Bank of America for our mortgage. Please any advice or info will be helpful. Would it be easiest to refile or talk to mortgage company about payment adjustment? Also we know our home is not worth what the mortgage says can we have it reappraised?

[keepmine]

You can file a 13 after filing a 7 {the old Chapter 20}. However, since it's been less than 4 years since you filed the 7 you can't receive a discharge and your payments in the plan will be at 100% of the atteage plus, you'll need to stay current on the mortgage.

The bigger issue is, should you try and save a home you can't afford that has negative equity?
If you've not reaffirmed the mortgage,I'd just give up the home and start all over. If you have reaffirmed, cancel it before your discharge.

[SunshineGal]

Have you tried to modify your mortgage? Sometimes the lenders will work with you since they really don't want your house back.

[helpinflorid]

Well see the only thing we pay payments on would be the mortgage now, whereas before it was the mortgage, car loan, old credit card bills, and hospital bills. Now since we filed chapter 7 all those are gone, so that would leave just the house. Big difference between a $2,000 chapter 13 payment and a $1,150 mortgage that we can afford to pay. Should we try to modify before discharge? Would that be better to do than wait?

[SunshineGal]

Yes, I would ask your attorney about modifying the mortgage prior to the Chapter 7 being discharged. It may not be a possibility, but it never hurts to ask.

[wsy]

Mine was modified after I filed the 13. But I started the modification 9 months earlier. When they threaten to auction my house on 8/9/2009 I filed 13 that night to stop the auction sale.
Unfortunately on the morning of 8/10/09 My mortgage company decided to delay the auction and gave me a mortgage modification. I was 28K in arrears.
The new terms was I pay 1150 for new paperwork the 1st month mortgage (2892.00) and dropped my interest rate 2 points for the life of loan.
Believe it or not these banks are funny when I showed them some assets (401k) thats when things became easy, for the 9 months I tried to modify nothing happened.
I also didnt pay 28K in arrears they tagged that balance to the existing mortgage.

[tcreegan]

Hi helpinflorid,

If all else fails, just keep making the payments, lenders aren't going to foreclose on a loan that is current. You might already know this, but the lender has restrictions on contacting you while in BK, so you might have to contact them. Stay in contact, stay current, stay in the house

Good luck w/ this!

Tom in Colo