To give Chase and Ally money or not to give - that is the question?!

[sh9730]

Ok, thanks BT - I promise - just one last question - If I call Chase, get something in the end that I feel as comfortable as possible (or more) with as far as a payment plan, the COURT wont care what I do if Im not applying for a reaffirmation, right?

[btbeme]

The court does not care. Your mortgage, and any subsequent agreement, is between you and Chase. By not reaffirming, you have more leverage in getting a good deal from Chase. Realize that any deal you might make with Chase before you file BK might be voided by Chase because you file.

Talk to a couple attorneys. I'd be happy to provide some recommendations for the Phoenix area if you request via Private Message. First consultations are free, but to get the best answers you must walk in prepared, with a good understanding of your debts, what is owed, what values are on your big assets (house, car, etc). Get some legal advice. It sounds like you are doing this on your own, which I would not recommend.

[sh9730]

BT,

OH, thought you knew....I ve already filed - yesterday. Needed to get the stay in place ASAP. I wanted to wait a little longer to let a couple things age a bit more...but had to do it.....I like my attorney, but like so many of them he is super busy and doesnt provide a lot of detail in his answers to my questions, and I tend to be one of those people who needs to fully understand things sometimes.

Thanks so much for your help....in the end I may end up in a CH13.....but I think I ll give Chase a call and see what they say. I hope they dont end up charging me even more to get current now since I ll probably have to talk to their BK attorneys etc!

We ll see what happens....

[btbeme]

Chase will not talk to you while you are in BK proceedings. Best to wait, and hope they do not try to lift the stay. If they do, then have your attorney talk to them. Get a copy of your discharge as soon as you can afterwards, and get it to their BK department. After that, they will talk to you.

[sh9730]

Wow - ok - my atty said there was some form that he could sign that would allow Chase to talk to me even though awaiting discharge. BUT, based on what you are saying, maybe the best thing to do is NOT contact them, lay low, keep the money I would have given them, and see if/when they file for a motion to release the stay? Also, on another board a poster who seemed knowledgable also said that Chase would in fact continue to take money if I offered it, they would just preface it that they are not TRYING to collect.

Maybe a low profile is better though since so far I have ONLY recd an NOD from them...no intent to go to sale or anything...so maybe I ll be discharged before they move to far along, and I can always adapt if they file the motion.

I dislike all of this stuff! Talk, dont talk...lay low...pay/dont pay.....arggh!! But I remember I got myself into this mess....

[btbeme]

Nothing can happen while you are in Ch 7 proceedings unless they get the stay lifted. They will only petition to do so if they intend to boot you out and sell the house to someone who is ready to buy it right then and there. In my opinion it is unlikely they will do so...possible, but unlikely. My opinion is lay low and don't do their homework for them.

The day after discharge is a different issue - move fast. You can hammer out a deal then. You can hammer out a deal right up until the house goes to auction and is sold.

I am at 10 months with Chase and no NOD. After my BK I applied for a HAMP restructure. Now I am considering a short sale (keeps me here another 120 days or so). I bank my mortgage payment every month, I found a nice rental for when I do have to leave, and I figure that I'll have plenty saved up in 2-3 years if and when I want to buy again.

[sh9730]

Wow - 10 months and they havent even sent you a letter you are in default? They sent me one right at 3 months. At least I think it is an official NOD, it says this is to notify you that your loan is in default? But no notice of intent to sell or anything yet....

Now, my loan is FHA backed so maybe they move faster on those than others since they have some recourse. In which case they very well may file the motion to lift to keep moving....

But based upon what you are telling me...I very well may take the dont contact them approach, then if they do file the motion...and I still want the house I will convert to CH13 and then I will have the money to pay for that since I will have saved all the house payment money (by the way I am not trying to keep it for purely sentimental reasons - I am not THAT upside down (maybe 20K on a 140K house), I run my business from here and changing it out would not be a great prospect.... Also, as I think I said in this post somewhere, I may end up in a CH13 in any case...I have some sort of recent (just under and over 90 days) charges and cash advances that may be contested....if so it may just mean the better part of valor is to go to a 13....

Thanks again so much for your help!

[sh9730]

BT,

Ok, based on your last post I thought I would see if I am officially in default. I guess not? I checked the county recorder website and the only document recorded is my deed...nothing else....so that letter may have just been an internal (between me and Chase) document and they havent filed the actual NOD or published it yet, right?

If Im right, that really leans me towards your lay low til they file motion to lift stay, or discharge approach as I probably have more time before the really move to take the house....?

[btbeme]

Most likely, what you received after 4 months was a Notice of Intent to Accelerate, which means they are telling you that you have been naughty and they intend to move forward with all means at their disposal.

Which means.... well...

Which means that you are late and they want to know what you intend to do about it.

In other days, long past, that would mean you are in the target zone for an NOD. Nowadays, it means you are in a second, very large basket, full of people who are late. If Chase is doing what they normally do, you will have a while before they get to the NOD. Since you are late already and have filed BK, you might get "special preference", which would mean a lift of the stay and immediate NOD. But, in AZ, the NOD tells you that you have at least 90 days before the auction, which means at least 90 day to work something out. The NOD will be mailed to you and also recorded at the courthouse so you can see it online. You will also receive an AVALANCHE of come-ons and offers in the mail offering to help from every shady law office and credit repair scam known to mankind. You will not miss the NOD when it comes. If you do, it will soon be followed by a letter taped to your door and a notice posted in your yard (maybe).

Chances are that Chase will not spend the $$$ and time to request a lift of stay...not in AZ, and not on a typical AZ home in a typical AZ neighborhood. They are a little busy right now. I'd bet dinner that they won't do anything until after discharge, and then you should be able to make a deal.

Just a guess.

[sh9730]

BT,

Yep - I tend to agree...the latest letter I got was "Intent to Accelerate" and wasnt certified mail or anything - so Im pretty sure it was just a "scare" letter. Hey, is you NOD information based upon knowledge from here in AZ? I ask because my understanding in reading elsewhere is that there is no REQUIREMENT that they provide an NOD....they can just go straight to the Notice of Sale by trustee - which still means that the sale is 90 days minimum from THAT notice. But my understanding in other places is they send an official NOD, THEN a few weeks later the NOS by Trustee. Or are you considering the NOS as the same thing as NOD here in AZ?

Again, I only ask because if Chase does send and NOD FIRST, and then the NOS later - that is even more time for my CH7 to wind through before I have to worry about them - IF they ask to lift the stay.

Even if they DO decide to ask for the lift I probably have time since its gotta take at least a few weeks for them to get the stay lifted, then they would have to send out the NOS (if there is no NOD ahead of that involved), and then the sale could not be any sooner than 90 days from that point. So, unless my CH7 goes long for some reason (my 341 is June 3rd), or Chase really gets on the ball right away (doubtful), I am pretty assured to be out of the BK before Chase sells the house. Question is how far along will they be? If too far they may not want to back down for anything less than full redemption plus fees....

But I tend to think you are right that the chances of them getting THAT far along before my discharge (since no NOD or NOS at this point) are pretty low....agree?

Thanks again for such detailed information supporting your opinions.....I know you cant promise anything on an internet board.....but I appreciate you helping me decide which way to go just the same.