Question Modification & Chapter 7 filing

[freeatlast98]

I plan to file Chapter 7. I have stopped paying on all my credit cards except one and a gas card.
My question is about a modification on my home loan. I went to the HAMP website and stated all the information needed including my credit card payments. Their system came back saying I didn't show enough disposable income so getting the bank to modify based on that information would be difficult. After I file my disposable income will be more. Does anyone know what is better applying for a mod now or after? I was also told by BofA that I would have to be late on my payments to even be considered. Although I have my May payment which will be delinquent on the 31st, I don't know if I should send it or not. Although I have May's payment in hand, it will take all my money leaving nothing for food utilities etc.. This whole thing is so..confusing. Is it best to try staying current now on the mortgage, file BK 7 and then try for a modification? Has anyone had experience with this? I really need help with the mortgage payment now. I'm self employed and business is really slow right now. Any suggestions??

[tigergem]

While you are waiting for an answer -- and I'm sorry I don't know enough about the mortgage modifications to help you -- you might want to go up to the google box near the top of the forum page -- to the left of where you log in -- and type in mortgage modification chapter 7. That brought up what looks like a lot of potentially useful discussions on this topic, and I hope you find some assistance.

Are you planning on filing your Chapter 7 pro se?

[freeatlast98]

While you are waiting for an answer -- and I'm sorry I don't know enough about the mortgage modifications to help you -- you might want to go up to the google box near the top of the forum page -- to the left of where you log in -- and type in mortgage modification chapter 7. That brought up what looks like a lot of potentially useful discussions on this topic, and I hope you find some assistance.

Are you planning on filing your Chapter 7 Pro Se?

Yes I'll be filing Pro Se. I can't afford an attorney.
I'm so scared right now and having so much trouble sleeping, I'm a basket case during the day. I don't know how my life became so out of control. How do people get through this? I don't want to lose my home however, the only way I'll be able to pull this off is a modification and BK. Thank you so much for responding, I feel so alone right now.

[tigergem]

Ok breathe. And please realize that you are sooooo not alone in what you are going through. Read through the forums and you will see so many people in the same situation you are in. Or worse! The paperwork is the hard part. That part I can help you with a little bit. Find your local district bankruptcy court web site and download the most current forms to use in your filing from there. Also check to see if there are any pending form or rule changes that might come into effect between now and the time you file. They very often make bold announcements of this on the web site. They might even offer pro se assistance, and you might find that out there. Start familiarizing yourself with the Federal Rules of Bankruptcy Procedure and your Local Rules of Bankruptcy Procedure. If you have the money to do it, go ahead and sign up for PACER and very selectively go through cases in your local district. In fact, you might want to query BofA as a creditor in your search of your district's filings to see how other people did it locally and whether they were successful. Although, I am not the least bit sure what a mortgage modification would actually look like in PACER. Maybe somebody else can help along those lines.

It only feels like you are out of control because you are preparing to navigate unfamiliar territory. The truth is, your decision to file bankruptcy is taking control back from your creditors and putting it squarely in your hands (plus the trustee of course). You have made a bold and brave decision. So breathe.

[freeatlast98]

A BIG Thank You. I have to remember some time to just breathe. I just wanted to give you a little background on my situation. I was married for 23 yrs until 9/2008. I was not represented by an attorney b/c my ex said we didn't need one. I refinanced my home and gave him 150k for his equity.
I gave it to him prior to the divorce becoming final. The home appraised at 588k in Jan.2008. Now the home is only appraised at 436k. I now owe 376K. Anyway, I found out after ex left he had taken over 247K from our small business over the years. On the day he left he emptied our bank accounts and left $605.33. All the years of our marriage he handled the books as far as receivables.
I took him to court because the attorney said I had a very good case. I paid my attorney fees by credit card
about 13K in total. This is where most of my now problems started. I went to court with my attorney and in less than 5 minutes, the judge dismissed the case "without prejudice."
I am aware I can file again however, due to my economic state I can't afford to. I know we all come to this forum with our own stories however, because of my recent experience with the legal system, I'm terrified something bad will happen again and I'll lose my home which is the only thing I have left. My small telecommunications business which I have had for 22 yrs. is suffering right now. Sometimes I feel I'll never come out of this. These past two years have been a nightmare.