Mortgage Co did not send reaffirmation paperwork?

[murphsmom]

Hi all, quick background. We did the Obama Loan Modification back in Jan, completed in March, with the bank understanding that we'd be filing Ch7 after the mod went through. Mod went through without a hitch, and it's fully approved and in place. The one thing the bank kept telling us is that we would need to reaffirm the mortgage after filing Ch7, which at the time, we planned on doing (its a 1st mortgage only, the payment is doable, we wanted to keep the house, etc...).

Fast forward to 341 meeting last week. Attorney gets out the car loan reaffirmation paperwork, and states that the mortgage co never sent him anything to reaffirm the mortgage???

I have the feeling, that between the modification and filing, that the bank honestly may have missed it, or forgotten it. We were dealing with 3 different depts in the bank. There also was a question at the time about who was responsible for gathering and executing the reaffirmation paperwork. Bank thought attorney, attorney said no, it's the banks responsibility. I got the feeling that the bank has never had to reaffirm a mortgage that just went through a modification. Smallish local credit union type bank, not a huge National bank.

Can you think of any other reason why they would not have sent it?

The attorney said that he would contact them about it. I actually asked the attorney to LET IT GO for now, and that we would deal with it if/when the time came, in other words, if they realize that they "forgot" it.

Now I'm thinking, that even if they send it, we may not want to reaffirm. If they foreclosed, it would take probably a year, and I'm guessing that they would accept a pay and stay situation, but who knows.

My actual question is, I read somewhere that the BK7 won't be discharged unless all reaffirmations are signed or responded to. Is this correct?

If we did have to sign it, in order for the ch7 to be discharged, how long, in NY State, do we have to revoke the reaffirmation?

Any advice on what to do about this situation is greatly appreciated. Thank You!

[newbie2]

Your bankruptcy can still be discharged even if you didn't sign any reaffirmation papers. Also, I'd have your attorney take a peek at your modification documentation. If you don't have to reaffirm to keep the mod, then don't do it.

[btbeme]

The mortgage bank missed something? Say it isn't so!

I'm pretty sure that your BK will either unravel your HAMP loan or will absolutely require a reaffirmation. So long as you filed for reaffirmation, your bases should be covered. If a bank does not send paperwork, etc BUT you have shown your intent to reaffirm on your BK filing, that is usually what the court requires.

As for New York, I have read recently that the courts are so backed up on foreclosures that it is almost comical. Have your BK atty look at your loan modification paperwork.. If you checked "reaffirm" on your filing and the bank misses the boat, so much the better - you will most likely land in Stay and Pay, or grow old waiting for your foreclosure.