I have NO idea what I'm doing - filed Ch 7 to stop foreclosure, what now?

[shiningwind]

I purchased my home in 2004, for $192k, with $112k down for an 80k loan with Countrywide, then BofA, I paid taxes and insurance - until 2010. My 401k and savings were gone and I was struggling to just get by. BofA took the taxes, I continued to pay insurance. I was six mortgage payments behind in July '11 when I started trying to get a loan mod. For a variety of reasons (can't verify employment, then couldn't verify income, then couldn't verify I was living in the house), BofA wouldn't modify my loan. I've kept up my home and it's held it's value. I continued sending packets and stayed in touch despite repeated refusals. BofA foreclosed with a sale date of Oct 9; I filed Ch7 (with NO other creditors) on Oct 4 to stop the foreclosure and because I was told the trustee could adjust the interest essentially lowering my payment (of a now 110k loan) within reach. I had my 341 on Nov 21, the trustee verified my SSN and CDL and said "okay, you're done." I told her I needed more, she replied that she could not give me any legal advice, talk with an attorney, I asked what would come next, and she repeated that she couldn't give legal advice, talk with an attorney. Here are my questions:

What happens next?

Am I still in Bk? Can BofA foreclose?

How do I keep a home that I love, have equity in and is cheaper than rent in my area?

What don't I know that I need to know?

Thank you for any help!

[HHM]

I am guessing you filed without an attorney.

And based on your post, and I have to be blunt. you DIDN'T do your homework.

Chapter 7 BK has no mechanism to SAVE a house. Yes, it "temporarily" stops the foreclosure. But shortly, if you haven't already, the bank will file a Motion for Relief from Stay, which the court will grant and the bank will continue with foreclosure. Or, the bank will wait until you receive your discharge, and then pick-up with the foreclosure.

Also, even in chapter 13, the bankruptcy cannot adjust the interest rate on home mortgages (it can for car loans, but not mortgages).

Basically, you need to get with an attorney THIS week. You will need to pay a truck load of money (because you already filed and messed up your case, it is more expensive for the attorney to fix a broken case then if they had started from scratch), and you will end up converting your case to a chapter 13 bankruptcy, assuming you can even do a chapter 13...which is questionable if you actually qualify for chapter 7.

[despritfreya]

I really cannot add to what HHM said. You need to meet with an attny now as you filed the wrong bk if you wanted to try to save the home.

Des.

[AngelinaCat]

I would have advised skipping your 341 and let the case be dismissed, then refile a Ch13, with the help of an attorney. But I reread your post before I posted this, so yes, as HHM and Des have said, get yourself an attorney ASAP.

[Pjmax]

Shiningwind, I'm so sorry you are in this position. I hope you can find an attorney to help you, like tomorrow!

I just want to add, for anyone reading this and thinking of filing on your own, there is so much more to it than filling out some papers. Free consultations are priceless, skipping this step can cost you everything. If you are willing to take the risk, that's okay, just be sure you know what the risks are.

You're in my thoughts, Shiningwind.