Can Bank of America Lift the Automatic Stay?

[MoMoney428]

Hi all,

Not sure if this is the right place to post this but here goes..

I've been paying my mortgage after the 15th of the month but before the next month for a while now. I got into a cycle and having a hard time arranging my budget so I can pay before the 15th. As a result, I've racked up over $2,000 of late fees which Bank of America has never come after me to collect. I wasn't that concerned since I have been paying my mortgage within 30 days and it just never seemed to be an immediate issue I needed to address....until now....

My attorney mentioned that once I file, BOA can file a motion to lift the automatic stay over the late fees. There is really no way of knowing - they may or they may not. Knowing BOA, I'll "bank" on it. If they decide to do this, would the purpose be to begin foreclosure proceedings? What other reason would they have to want to lift the stay? I may be able to pay the late fees before I file but I'm not certain yet. With the number of foreclosures BOA has on its hands right now, I can't imagine them wanting to lift the stay over late fees but I'm no expert. I've already sent this question to my attorney but she hasn't responded yet. Thought I'd get others opinions as well.

Thanks in advance. Hope everyone has a great weekend!

Beth

[BrokeinMD]

A Motion for Lift of Stay to Foreclose would be what they would file. I've received those for being in arrears. It would suck if they filed a lift of stay for late fees, but it's possible. If they do, just cross that bridge when you get there. I can tell you that my second mortgage has late fees, and they didn't bother me. Hope that helps.

[tcreegan]

Hi MoMoney,

I'll "bank" on it. If they decide to do this, would the purpose be to begin foreclosure proceedings? What other reason would they have to want to lift the stay? I may be able to pay the late fees before I file but I'm not certain yet. With the number of foreclosures BOA has on its hands right now, I can't imagine them wanting to lift the stay over late fees but I'm no expert.

....I don't think even the experts have any idea these days. Usually the purpose would be to start foreclosure proceeding, but it may just be an automatic response. Once you file they have restrictions on contacting you so you have to stay in contact w/ them. If you plan to stay in the house, keep the payments current and negotiate w/ them; first ask them to forgive the fees, if they won't, ask them to capitalize them, and if that doesn't fly, ask them to spread the payments out over time so its an affordable monthly expense.

But before you fork over too much $$ to BoA, step back and take a look at your mortgage deal with a "business-only" assessment. There have been a raft of people posting here who couldn't step back and look at their mortgage with an impartial eye, and dumped big bucks before realizing it was a bad deal. They regretted not seeing it sooner, regretting the $$ they put in it.

Good luck, and if you can figure out why BoA does what they do......probably can hire yourself out as a pyschic

Tom in Colo