Lender charged with fraud...

[myhearts07]

Good morning all, Hearts here. I haven't posted in a while bcuz hubby was going through BK7 and we were in foreclosure and ..... Anyway, a few weeks ago, I read that my lender TB&W was shut down for fraud. I really don't know what type of fraud they did, but I know our loan was transferred to BofA. Got a letter from them 2 wks ago and called to see what was up. I was told that they had not started foreclosure proceedings on us yet bcuz they had not received BK discharge paperwork and suggested I send in pprwrk for a loan modification.
We have received the discharge papers from the court, over 3 weeks ago. Any suggestion on what we should do? Our last day of redemption was 9/22 and I have been checking for sheriff sale dates in the system and I don't see our home listed. I want to try and wait this out and see what happens, but then I don't want to wait too long (as they don't seem to update that sheriff sales list daily) and the sheriff is at my door and we have no place to move.

Your comments would be appreciated.
Hearts

[Snickers]

Since BofA has your loan now and they said they haven't started foreclosure, I would try to work things out with them. They don't have your discharge papers because they were probably sent to TB&W and haven't made it over to BofA yet.

If you were going to try and keep your house, this may turn out to be a lucky break. If BofA suggested you send a modification request, you may be able to work with them to keep your house at a decent rate.

We were with TB&W too and get picked up by BofA when they got busted. The first month (August) was a little screwy because I had a check in the mail to TB&W but BofA was very nice about it and said to just wait a couple weeks and check back. She said they were not hitting us with late fees etc for the first two months because of the changeover.

One thing that TB&W did before my loan went to BofA was to pay my home owners insurance three times!!! I talked to BofA about my escrow and they said it looked ok...it is good to cover the taxes due in December.

Makes me think TB&W had collected excess escrow and was looking for a way to dump it before transferring the account.

[myhearts07]

I think we will try to wait it out and see. they told me it could take 30-90 days before we find out anything and that if the loan mod didnt work they would try forebearance and one other thing I can't recall before they would send us to foreclosure. don't know how long that would be, but we sure could use the time to save money and try a shortsale if possible. Thanks you all for your responses.

[debtprison]

As long as you are sure you will always have enough cash you might consider moving stuff out into a low cost self storage unit. That way you could conceivably stay at the house all the way until the sheriff is literally pounding on the door. Just keep beds, clothes, and necessities in there as the expected time gets closer. When the sheriff comes I think you usually get a day's final notice? If so rent a Ryder or Uhaul and move the beds along with the other stuff. Check into an extended stay hotel if you need to for a week while you look for another place...

If you need money badly this could save you over $1,000 a month in rent. If that gives you an extra three months that's $3,000 minus $300 for the storage unit and $50 for the truck rental.

[BigJohn]

I think we will try to wait it out and see. they told me it could take 30-90 days before we find out anything and that if the loan mod didnt work they would try forebearance and one other thing I can't recall before they would send us to foreclosure. don't know how long that would be, but we sure could use the time to save money and try a shortsale if possible. Thanks you all for your responses.

Almost every community has a non-profit organization that helps people with foreclosures, etc. They might help you with the loan mod. Cost should be free.