Stopped paying 2nd with Greentree. Now what?

[Mensa1]

Well I send a settlement offer to Green Tree today for 5% of the principal balance. I'll let you know what happens.

It may be too late for this advice since it sounds like you have already forwarded an offer to settle, but I would be in NO hurry to make an offer to settle a Jr mtg. You apparently are planning on staying in the house inspite of the 1st being underwater by nearly 60K, but why get more $$$ into the deal by paying the 2nd even 2-3K at this point...? You could probably wrap the whole thing up into a short sale, possibly with an inside angel... if one existed... who might make such a purchase, and get the thing done for half of what is owed in total. Just a thought... but each to their own. But back to my original point here, I would let the Jr mtg season some more... and you may get them to walk away for lots less as this mtg debacle unfolds.... We just don't know what is around the corner next with the mtg crisis.

[RW3]

It may be too late for this advice since it sounds like you have already forwarded an offer to settle, but I would be in NO hurry to make an offer to settle a Jr mtg. You apparently are planning on staying in the house inspite of the 1st being underwater by nearly 60K, but why get more $$$ into the deal by paying the 2nd even 2-3K at this point...? You could probably wrap the whole thing up into a short sale, possibly with an inside angel... if one existed... who might make such a purchase, and get the thing done for half of what is owed in total. Just a thought... but each to their own. But back to my original point here, I would let the Jr mtg season some more... and you may get them to walk away for lots less as this mtg debacle unfolds.... We just don't know what is around the corner next with the mtg crisis.

Well it's been two weeks and no response from Greentree at all. They are reporting me 90-120 days late on my CR. I filed disputes with all 3 major bureaus, stating that the debt had been discharged in a Chapter 7 bankruptcy under a different lender and that this loan was a duplicate. Plus they took over the servicing rights while I was in Chapter 7. I also found copies of faxed documents that denote me being denied for the loan during origination from the original lender. Very interesting......

[Mensa1]

I found my reaffirmation agreement with Irwin, only my wife and I signed. The creditor did not and neither did the judge.

more than 4 years from discharge of your previous BK filing.

since you reaffirmed your 1st and 2nd mortgages - you're now liable for them since you defaulted. You'll have 2 strikes on your credit report 1. BK and 2. charge-off / foreclosure. Is CT a recourse or non-recourse state?

Why did you reaffirm vs. just doing a ride-through?

If you re-read the OP info added, he and his wife did sign reaffirm but Judge did not allow it, hence he is NOT personally liable for the mtg. Thank Gawd that the Judge was on his/her toes in his case.

[RW3]

These clowns just sent me a notice of intent after I am 120 days late. I am not paying them, I sent them a letter with a copy of the mod that was done on my first attached. I also explained that I am over $100K underwater. I told them that the debt was discharged with the previous servicer, and requested they show proof of the loan reaffirmation. I'm going to fight this tooth and nail, they would be dumb to pursue forclosure, I just want to settle this damn thing for 10% and be done with it.