I need some advice

[Bluetulip]

My husband and I have been fighting with Wells Fargo for over ten months now to get a loan modification after constantly sending in paper work, and retrying this each time, they decided that they were not going to give us a modification. They say they will send us a letter when the sale is set on the house.

I want to save my house, so my husband and I went to a bankruptcy lawyer this morning, he was not very helpful, and casually told us that we will have to be earning more money to get a Chapter 13 and indicated that we were in too much of a hurry, that we should wait until the sale date is set on the house then pay them $2,000.00 for a Chapter 13 stall, but there is no guarantee that we will be able to keep the house even if we do this.

Should I see another lawyer? I found this one in the Pennysaver and he also has a website. I am on edge here, I know that Wells Fargo is famous for throwing folks out of their houses without warning, I have practically begged them but they refuse to tell me how long I will have after they send me the letter of date of sale and the actual sale.

Can someone please tell me what to do? I am feeling very hopeless and lost right now. Thank you.

[tobee43]

blue...first...whether it's wells fargo or boa, or chase ....you must get "legal" proper notice....

new york is a judicial state...which means, your foreclosure process MUST go through the courts....and which means you can go in front of a judge and ask for more time. the fact is, many judges are simply NOT willing to put people out in the streets...even if wells fargo would like to. so honestly, you have nothing to worry about in that respect...it takes time to foreclose, and you will get a notification from the courts before you actually get thrown out...first you have to receive a summons...which you can answer and stall....then you can do that a few times really...besides once a judge hears you are in the process of attempting to get a loan modification and it's the BANK who is stalling..believe me the judge will look at the bank crossed eyed.

i understand the stress and frustration...and the fear...but it will be ok...

also...you MUST see another atty...one you feel will fight for you, beside you...and watch behind you...keep interviewing...we did...6 before we hired anyone!!!

keep posting...we are all here to help one another...you'll find the help you need...and don't worry..you will NOT be on the streets for sometime.

[free2breathe]

You can contact the NY Bar Association for referrals to attorneys. Just a place to start at least. Like tobee said, find one you feel comfortable with. Most offer a free initial consultation, and if they don't strike you as a good fit, move on to the next one.

[LadyInTheRed]

Bluetulip, you should definitely consult with more attorneys until you find one you are comfortable with.

It is possible the attorney you saw gave you good advice, even if he wasn't so great at delivering it. Add up all the arrears you owe on your mortgage and divided it by 60. Can you pay that amount each month plus your regular monthly payment and still pay your living expenses? This is just a starting point in determining whether you have enough income to fund a Chap 13 plan in which you keep your house. You would also have to pay trustee fees and any other priority (taxes for example) and secured debt . If you have any non-exempt assets, that may increase your Chap 13 payment. Giving up a house is very difficult. But, if you really can't afford the house, it's better to face the reality now than to get into a Chap 13 plan you can't afford and eventually lose the house anyway.

[debee]

I don't think waiting is a good idea. Non-judicial foreclosures are uncommon in NY because most mortgages don't have a "power of sale" clause written into them. But yours could.

If it does, it means you have already given the lender permission to foreclose in the event you default on the stated terms of the loan. They would be able to schedule the sale without a court proceeding. You might want to read the mortgage over, or at the very least, bring it with you to the attorney meeting.

Also, since you were seeking a modification and since the one lawyer you've seen so far said you didn't have enough income to fund a 13, I am wondering if keeping the house is the best "business decision" for your family. Sometimes people develop an emotional attachment to the structure they call "home" and forget to look at the money issues and how those money issues negatively impact other areas of life and they forget to ask if the house is really worth all that. All the more true if they are also upside-down on it and paying more than it's worth.

[Bluetulip]

Thanks so much for your advice I feel so much better now, and I will take your advice and consult more attorneys.

[Bluetulip]

Thanks very much for replying, yes I will trying contacting the NY Bar Association.

[Bluetulip]

Thanks for your advice, I will get on the math. Yes, losing this house will be very hard for me. You are right if we cannot afford it we will have to give it up, but the question is where will we go, we have no one. I guess I will survive. The only time I felt worse than I do right now was when I had to bury my only daughter.

[Bluetulip]

Thanks for your advice about the "power of sale" clause. I will try to read my mortgage document to see if I find out or as you advised take it with me when I go on another consultation with an attorney. I will also think carefully about the rest of your post as well.

[Bluetulip]

I would like to thank everyone who replied to my post. I was deeply upset when I posted on this thread. I have had some time to calm down and when I came back here I never expected to see so many replies to my post. I feel better that some kind folks took the time to reply and I really appreciate this very much. I will definitely keep posting here, and will keep everyone up to date on my progress.

[tobee43]

glad to hear that bluetulip! this is a great place to "air" out your questions..even when this situation gets the best of you.


also please be careful ....check out the list of judicial state vs non judicial state...ny has no such thing as power of sale clauses as that pertains to non judicial states. one does not pick and chose...LOL!! (oh my)... whether their state is either judicial or non... it's just a plain and simple fact.

please read this, just so your clear as to your standing and your situation, you may find it helpful: http://www.bkforum.com/entry.php?398....-non-Judicial

also, many people just do not have the fortitude to stomach being on such a tight rein as is required in a chapter 13 for 3-5 years. although on this forum there are numerous people whom have fared quite well. my first goal would try a 7 if possible and then go from there. it's difficult getting conflicting opinions, but only YOU know what's right for you and your family. just be cautious with miss information and read and research as much as you can...as you will find you are YOUR only, and best advocate..

on this forum...people really try to reach out with a helpful hand. most of us have "been there and done that"...so we really do understand.

make sure you keep us posted on your progress!

[debee]

Link to website explaining how non-judicial foreclosure works in NY:

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

[Bluetulip]

Thanks for your advice and the link, I will keep everyone updated on my progress.