Ch 7 or Ch 13 and HELOC

[keepmine]

If you reaffirmed and have been discharged, you are on the hook for any sort of defeciency balance.

[Pandora]

Pandora,

I filed already back in early '10 after being out of work for a year. It was a Ch 7 ......... but mostly it was an afford to help modify my 1st with Aurora Loan ,

....I am not sure what my lawyer did the reaffirmed or stay and pay...

As for my father, he doesn't make any money, he's older with health issues, his medical bill alone already takes up most of his paychecks...

Answering in order:

So your loan is modified - guessing its not HAMP and is In-House mod since you're having to repay the arrears upfront, but that leads me to my next concern. If they modded it (an actual mod - NOT a forebearance) then all arrears should be added onto the end of the loan, even if In-House mod. Something to check into. Did you get paperwork with the entire loan spelled out (interest rate, terms, etc). ?

As keepmine stated - knowing whether its reaffirmed or if you're doing a ride-through is very important at this juncture. If you reaffirmed, you're liable for the deficiency (if any).

Your father gets a paycheck but doesnt make any money? Okay - contradiction there Is he on Social Security or something? If he's got medical issues, there are a ton of programs out there to assist him - however what will come into play is your money since he's living with you. Usually many of the pharma. company's do a "household income" when factoring in assistance. Some may not; but most do. Something to check into as a way to get help to him with meds / co-pays / etc. One site thats really good is needymeds.org

[Positive9]

Answering in order:

So your loan is modified - guessing its not HAMP and is In-House mod since you're having to repay the arrears upfront, but that leads me to my next concern. If they modded it (an actual mod - NOT a forebearance) then all arrears should be added onto the end of the loan, even if In-House mod. Something to check into. Did you get paperwork with the entire loan spelled out (interest rate, terms, etc). ?

As keepmine stated - knowing whether its reaffirmed or if you're doing a ride-through is very important at this juncture. If you reaffirmed, you're liable for the deficiency (if any).

Your father gets a paycheck but doesnt make any money? Okay - contradiction there Is he on Social Security or something? If he's got medical issues, there are a ton of programs out there to assist him - however what will come into play is your money since he's living with you. Usually many of the pharma. company's do a "household income" when factoring in assistance. Some may not; but most do. Something to check into as a way to get help to him with meds / co-pays / etc. One site thats really good is needymeds.org

Hi Pandora,

No the loan was not modified, at the end we got denied for everything! Like I mentioned at first I was making a few dollars over, then I was making a few dollars too little. My father does work, what I mean is that he makes so little that there's no money left over for anything else, so if the bank were to come after him, it would be a waste of time Sorry, I know my writing isn't so good.

Yes, I have looked into helps for his medical problems. He has RA, and medicine is very expensive, every time he goes get his infusion it's $4500, thank goodness he has insurance, but he'd still pay $300 out of pocket... But the other option is to let the disease take over and become cripple, that's no way to live.

Thanks all!

[Pandora]

ah - okay, thanks for the clarification re: mod, makes more sense now. Did the mortg. co. tell you why they denied you? Based on?? Did you qualify for HAMP based on the criteria? (dont take the banks word for it - you need to read the guidelines and know how the program works). Is your house owned/backed by Fannie / Freddie? Go to the Making Homes Affordable website and review everything. However your main priority at this point is finding out if you reaffirmed.

For your father, I'm sorry to hear he has RA, very painful condition indeed. Here are some further sites that offer assistance:

rxoutreach.com

pparx.org

http://www.helppayra.com/

http://www.enbrel.com/pay-for-ENBREL.jspx

https://www.rxhope.com/faq.aspx

http://www.togetherrxaccess.com/

http://www.colorado.gov/cs/Satellite/HCPF/HCPF/1221647964046

http://www.coloradodrugcard.com/index.php

Hopefully one, if not all, can get him some assistance.

[2manybills]

I recently settled my HELOC on my home. When we filed our BK, we had our first with a balance of $350K and our HELOC with a balance of $200K. Our home at that time was worth $440. Our BK was discharged in Dec. 2009. In about February, 2010, I quit paying on our HELOC. I attempted to settle at that time with Wells and they wanted to 20 cents on the dollar or $40K. I just ignored them and kept on not paying my payment. In August of 2010, the HELOC was charged off. In June, 2011, I sent Wells a letter again offering $15K (8 cents on the dollar). They came back that they would accept $20K and we have agreed to settle. I will be sending my money in within the next week and they have agreed to release the lien on my property within two weeks of receiving the funds.

[Positive9]

I recently settled my HELOC on my home. When we filed our BK, we had our first with a balance of $350K and our HELOC with a balance of $200K. Our home at that time was worth $440. Our BK was discharged in Dec. 2009. In about February, 2010, I quit paying on our HELOC. I attempted to settle at that time with Wells and they wanted to 20 cents on the dollar or $40K. I just ignored them and kept on not paying my payment. In August of 2010, the HELOC was charged off. In June, 2011, I sent Wells a letter again offering $15K (8 cents on the dollar). They came back that they would accept $20K and we have agreed to settle. I will be sending my money in within the next week and they have agreed to release the lien on my property within two weeks of receiving the funds.

Hi,
Thank you for your post. We may end up having to do something similar for my father (since I've already filed) I really want to keep this home but if we can't we can't, I just wanted to at least know that I try everything before giving up.

Your numbers is similar to mine in terms of loan amounts. I have $482k on 1st, and around $178k in HELOC- but the different is that you probably weren't behind on your first right? We're behind because, well, because we were trying to do the loan mod so some of the amount came from the that (we were paying lowered forbearance amount while we were trying to get approved for the mod) and some of it came from just us stopped paying since we know we're probably gonna end up having to do a short sales anyways.

Can you advise me how you were able to successfully deal with the 1st? For example, did this make them lower your interest at all?

Thank you,

[2manybills]

I never quit paying my first mortgage. I am in the process of trying to do a loan mod right now just for the purpose of lowering the interest. If you can hold out until you have worked out the loan mod, I would. When you file Chapter 7, you always run the risk that the bank will do a motion for relief from stay to be able to foreclose because you are in arrears. Not that they don't still work out a loan mod, but they still have that right. The only way around that is Chapter 13 which would also strip the 2nd mortgage lien. But if I had my way, I would certainly do a 7 instead of a 13.

Hi,
Thank you for your post. We may end up having to do something similar for my father (since I've already filed) I really want to keep this home but if we can't we can't, I just wanted to at least know that I try everything before giving up.

Your numbers is similar to mine in terms of loan amounts. I have $482k on 1st, and around $178k in HELOC- but the different is that you probably weren't behind on your first right? We're behind because, well, because we were trying to do the loan mod so some of the amount came from the that (we were paying lowered forbearance amount while we were trying to get approved for the mod) and some of it came from just us stopped paying since we know we're probably gonna end up having to do a short sales anyways.

Can you advise me how you were able to successfully deal with the 1st? For example, did this make them lower your interest at all?

Thank you,