Surrendered in CH13 - BOA just told me that they won't foreclose

[Ifonly]

...until after the bankruptcy is discharged. Over another two years away....and the home has been vacant for almost three. We moved out and rented.

They say that they "can't" because they "can't" lift the stay on the second mortgage? Has anyone heard of this? They lifted the stay on the first and report us late to the credit agencies every month like clockwork. Meanwhile, we continue to get the bills for the sewer tax and anything else that doesn't stay with the house.

I just want so badly to be done with the house. I was hoping that it couldn't possibly be another year to have the foreclosure go through. Even if we wanted to buy another house, by the time they actually foreclose and we wait for our credit to clear from that...we're looking at another five years. How is this even possible? Is there any way for the BK court to compel them to foreclose?

[shark66]

I just want so badly to be done with the house.

You and possibly millions of others...the lenders - especially TBTF crew - couldn't care less...

How is this even possible?

Easy. The banks own the government. Their attorneys write the laws that apply to the rest of us.

Is there any way for the BK court to compel them to foreclose?

Absolutely not.

If I were in a similar position, I'd consider moving back in the aforementioned house. Seriously.

Good luck to us all.

[Ifonly]

I would consider moving back in but I actually have a settlement with the HOA that I'm not responsible for the past, present and future HOA fees (result of them violating the automatic stay as I named them as a creditor for the year we filed and they pursued legal action INCLUDING that year and they sort of stepped in it). The settlement is out the window if I move back in. So that would be about $6,000.00. $1,600 in delinquent sewer taxes and the house needed a new heating system when we moved out (one of the reasons we moved). That's about $8,000.00. Water's been off for about 3 years and I doubt that won't need a repair or two. Add the financial implications to the fact that the area is declining rapidly (petty crime on the rise, foreclosures through the roof, 35% of the development is vacant, the school district is less than desirable compared to where the kids are now, I'm building a decent client following where we are - I'm an accountant)...well, moving back is just not an option. The whole issue just makes me nutty.

[papie]

We're in the same boat.

I've been begging US Bank to foreclose on our home. They keep telling me it's pending or some crap. I really just want my name off of that house so I can start ticking towards the date when a foreclosure will no longer show up on my credit.

We don't live there anymore and it wouldn't make sense to move back. The house needs more major repairs that we could ever accomplish and it's no where near our current jobs.

I guess it's truly a sign of the times when you have to ASK a bank to foreclose.

[footballfan]

I have a question -- if the stay is lifted for a creditor, can they really start reporting again?

I thought typically a stay is lifted so the creditor can collect its collateral (house or car). Isn't the debt still included in bankruptcy though and therefore non-reportable?

I've never thought about this before, but we have two creditors motioning for relief from stay so they can reposses and foreclose (vehicle and house) and we hadn't intended to fight it. Does this mean once the stay is lifted, they can start reporting again?

Sorry -- didn't mean to hijack thread, but OPs post made me wonder. Thanks!

[AngelinaCatHub]

Not sure of legality, but I'd put a certified letter to them with copy in the newspaper for 30 days that you disclaim all responsibility in that house freely given back to the mortgage company. Could embarrass them to act or could protect you from sort of liability. Worth a try. 'Hub

[shark66]

Add the financial implications to the fact that the area is declining rapidly (petty crime on the rise, foreclosures through the roof, 35% of the development is vacant, the school district is less than desirable compared to where the kids are now, I'm building a decent client following where we are - I'm an accountant)...well, moving back is just not an option.

That's pretty amazing although I've already heard reports similar to your own from that neck of the woods...

I probably made close to $200K - paid mostly in cash - in LV area from 2003-2006, and I wasn't even a resident of PA, but was subcontracted by people who were doing the big "IT highways" in the area, for banks, schools, government buildings...I was on the first-name basis with most of Cisco's and Adtran's salesforce at the time...and then everything went down in flames within a year or two...everywhere...most of the people I've dealt with are out of work now, many have lost their homes...a fabulous picture of the times we're living in...

The whole issue just makes me nutty.

And I don't blame you one bit, if that helps in the least...

Good luck to us all.

[Billssuck]

I'm with BOA too and it's been almost 2 years (this coming May) since we made a payment. They haven't even requested to lift the stay either. I do/did have a HELOC on the property but it was also with BOA so it shouldn't have been a problem to lift the stay initially. However, BOA did file the default insurance I had on the HELOC and that loan was paid off by United Insurance Agency so now the HELOC lien is with them (hence a second with another entity). I guess they wanted the insurance money more than a speedy foreclosure.

We only have 3 more payments on our CH13 so our discharge is just around the corner. I hope something gets moving shortly thereafter.