Still Awaiting Chap 7 Discharge and Bank was Granted Termination Of Automatic Stay
Hello everyone,
I could really use some advice. I filed Chap 7 on March 24, 2010. Since filing we fell behind on mortage payments. We are currently 3 months behind and owe a total of $5700. Truthfully, we want to keep the house and on our application we had the house excluded- but I never officially reaffirmed the debt with the bank. We just stopped paying the mortgage after we filed.
I recieved a copy of the papers that the bank filed and it seems that the judge from the US Bankruptcy Court has granted the termination of automatic stay which now gives the bank to right start foreclosure. The bank has not sent me any foreclosure papers yet.
Do I have any recourse in this? I would like to keep the house and modify the loan so that it could be more affordable for us. Now that the automatic stay has been lifted, is it the usual practice of banks to immediately start foreclosure proceedings? Are they usually open to modifications? Do banks work with you while you are in the bankruptcy phase? Should I wait until I get fully discharged before I even start tackling this? I called the bank today to start trying to work this out, but they need an attorney consent form before I can speak with them.
Sidenote: If push came to shove, I could come up with $5700 to pay up the money we owe, but a loan modification is what we really want. Im just really scared that they will start foreclosure proceedings without giving us a chance to work something out. Please advise.
I could really use some advice. I filed Chap 7 on March 24, 2010. Since filing we fell behind on mortage payments. We are currently 3 months behind and owe a total of $5700. Truthfully, we want to keep the house and on our application we had the house excluded- but I never officially reaffirmed the debt with the bank. We just stopped paying the mortgage after we filed.
I recieved a copy of the papers that the bank filed and it seems that the judge from the US Bankruptcy Court has granted the termination of automatic stay which now gives the bank to right start foreclosure. The bank has not sent me any foreclosure papers yet.
Do I have any recourse in this? I would like to keep the house and modify the loan so that it could be more affordable for us. Now that the automatic stay has been lifted, is it the usual practice of banks to immediately start foreclosure proceedings? Are they usually open to modifications? Do banks work with you while you are in the bankruptcy phase? Should I wait until I get fully discharged before I even start tackling this? I called the bank today to start trying to work this out, but they need an attorney consent form before I can speak with them.
Sidenote: If push came to shove, I could come up with $5700 to pay up the money we owe, but a loan modification is what we really want. Im just really scared that they will start foreclosure proceedings without giving us a chance to work something out. Please advise.
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