Need help with Foreclosure Process in MD - Conflicting statements

[BrokeinMD]

Hi All - My hell is not over yet. Like I wasn't broke already, 9 months after my Chapter 7 discharge in MD, I lost my job. I've only had a couple of crappy jobs in the past two years. Other half, not on the mortgage or deed, is underemployed, but was helping with the bills.

Anyway, 2nd Mortgage initiated the Foreclosure process through my first Mortgage. It's now on public record. One attorney told me that it shouldn't have been that way and should only be filed through the trustee for the lender. My BK attorney said that's B.S. and that in MD they have to list me as I am the person on the deed so that they can make the filing to take ownership.

Notice of Sale is 14 days away, I just received it by mail yesterday. No publications are in any newspaper I could find in the surrounding areas. Even googled my address and everything. Nothing. From what I researched, MD procedure says that they must file the 1st Notice not less than 15 days before the sale.

My BK attorney says that I may have recourse if they do not provide the affidavit of Publication when the Foreclosure sale is ratified, and, the Foreclosure is still going to show on my credit report, even though the debt is discharged. This sucks when I'm trying to find a job. Anyone out there been through this in MD? I thought since I was listed as the defendant, it was a fraudulent filing, but, I guess it isn't? Anyone familiar with this post bk hell, especially in MD, please share your war stories. Thanks!

[LadyInTheRed]

My BK attorney says that I may have recourse if they do not provide the affidavit of Publication when the Foreclosure sale is ratified, and, the Foreclosure is still going to show on my credit report, even though the debt is discharged. This sucks when I'm trying to find a job. Anyone out there been through this in MD? I thought since I was listed as the defendant, it was a fraudulent filing, but, I guess it isn't? Anyone familiar with this post bk hell, especially in MD, please share your war stories. Thanks!

Yes, a foreclosure will show up in the public records section of your credit report. But the lender should not report any deliquencies that occurred after you filed your BK.

I'm not sure what you mean by a fraudulent filing. Do you mean that you think they are violating the Bankruptcy Court's permanent injunction against collection of a discharged debt? A foreclosure suit is an action against the property. They must name the property owner in the suit. They are not collecting on a debt, they are recovering their collateral. If they tried to get a deficiency judgement against you, that would be a violation of the permanent injunction.

[BrokeinMD]

Hi Lady - In the Statement of Debt, they jacked up the figure an extra 10 grand above what was discharged, and, with my name attached to it as defendant, it looks to me like they want to try to get that from me, and that's why I think it's a fraudulent filing. Plus, there's no mention of the fact that the debt was discharged in the filing. My BK attorney advised me that I can have some sort of recourse when the ratification of the sale is filed and they did not attach the affidavit of publication, which they are supposed have the first one published no less than 15 days out from the sale date by MD procedure, and I have yet to find it in any of our local publications. How long does the Foreclosure stay on the credit report?

[LadyInTheRed]

The extra 10 grand includes interest, penalties and foreclosure costs incurred after you filed BK. The lender is required to file the Statement of Debt with the court as part of the foreclosure suit to show the amount that must be paid by the homeowner to prevent foreclosure. Because the mortage was discharge, you have no obligation to pay those amounts unless you want to prevent foreclosure. Naming you as a defendant in the foreclosure action and filing a Statement of Debt is not fraudulent. It is what is required to foreclosue.

I'm confused about what stage of foreclosure you are in. According to my brief research, the Statement of Debt should have been served on you when the foreclsoure suit was filed. But, you say you received a notice of the foreclosure sale, which would happen after the court orders the foreclosure sale to proceed, long before a sale date is set. Perhaps you are discussing documents you received at different times?

A lawsuit for the defiiciency, which would be a violation of the BK court injunction if it named you as a defendant, couldn't be filed until after the sale, when the lender knows the amount of the deficiency.

According to my research, you received timely notice of the sale since you received it more than 10 days before the sale date. The notice is probably being published somewhere, even if you can't find it on the internet. If it isn't published, the court won't confirm the sale.

I have no experience with Maryland foreclosures. All of my statements regarding the process are from the following websites:

http://www.msba.org/departments/commpubl/publications/brochures/foreclosure.asp

http://www.foreclosurelaw.org/Maryland_Foreclosure_Law.htm

http://lib.guides.umd.edu/content.php?pid=131120&sid=1126003

[BrokeinMD]

They may have served me the notice of sale on time, but, it also has to be published in a newspaper in the county where I reside. I have looked on the internet, and also in my local paper, which doesn't have a website and only publishes once a week. Nothing. Yes, I am talking about different things received at different times, but I am in the last stage of the process. Packing, stressed, etc. Thanks for sorting through my jibberish posts and trying to provide me some sense.

[LadyInTheRed]

You might be able to find a list of newspapers of general circulation in your county on your County Recorder our County Court Clerk website. Or just Google "__________ county newspaper of general circulation". You might be surprised at how many papers exist.

[BrokeinMD]

I just checked a few more VA and WV papers after your tip. Still nothing. I'm just going to have to wait and go to the courthouse. I wonder how soon after the Sale Date the ratification papers are filed?