Upside Down Mortgage

Posts Tagged ‘bankruptcy’

Loan Modification Chapter 13

Question: What can I expect from foreclosure 1 1/2 year after chapter 13?

I filed chapter 13 1 1/2 years ago and have been doing well, making my payments etc. Now, my ARM has adjusted and the bank refused to grant me a loan modification. I am considering foreclosure and am wondering if the process is different since I am already in a 13. Do I need a lawyer? What can I expect. Will it be quicker than the 9-12 months?

Answer: It won't be much different if you are in the Chapter 13. But you didn't mention if the house is included in the Chapter 13 or not. That may change how the bank will go about the foreclosure, but not by very much.

If the house is not in the Chapter 13 plan, then the bank will just file the foreclosure lawsuit, get a sheriff sale date, and attempt to sell the house to pay back the defaulted mortgage. Check your state's foreclosure laws to find out exactly how long this takes.

But if the house is included in the Chapter 13, then once you begin falling behind on payments, the bank will petition the court to have the mortgage dismissed from the bankruptcy plan. Since you wouldn't be making the payments, this would be pretty easy to accomplish -- the Chapter 13 is designed to give you a chance to make the payments on time through the entire plan. If you fall behind, the creditors can have their debt removed and pursue collections again.

In that case, then the mortgage company would begin pursuing the foreclosure process same as normal. They still have to follow the state foreclosure laws and county rules in order to take your home. Nothing would change any of that.

There is just that one extra step of getting the house removed from the bankruptcy payment plan, if you included the house in the Chapter 13. Otherwise, the bank will have to follow the laws that dictate how the foreclosure process will work. And to know how much time you have and other details, you can search online for your state's foreclosure laws.

Hope that helps.
ForeclosureFish

Chapter 7 and 13 - Bankruptcy Attorney in Orange County

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Loan Modification Examples

Are you having a hard time refinancing your loan?  Have you noticed that interest rates are fluctuating like crazy?  Well, unfortunately, the real estate market is going nuts these days trying to find the top, the bottom or just some sense of stability.

Recent news coming out of Mortgage Finance magazine confirms that recent spikes in mortgage rates have consumers wondering whether they have missed the chance to refinance.  After months, and almost years, of incredibly low interest rates, the declining rates seem to be at an end.  However, no one knows what the situation is, and it has the entire industry in flux once again.

For example, some in government positions are saying that the housing crisis is almost over, while banking titans and Wall Street financial gurus are claiming the opposite.  Mortgage interest rates are up one day, down the next, and homeowners are being slammed in the process. The interest rate you get this week might be worse than what you could get next week.

Solutions

If you are trying to refinance because you are in a difficult financial situation, a loan modification might be the answer you are looking for.  Refinancing your house is incredibly difficult, especially if you have bad or poor credit.  If you have not stayed on top of your credit score, or if your current financial troubles have affected every area of your life, refinancing might not be the option for you.  A California loan modification does not hinge upon what your past credit score is, it hinges more upon your ability to continue to make payments throughout the course of your loan.  If you have a subprime mortgage with payments that are ballooning, a loan modification might be a more effective avenue than refinancing.

Fluctuating interest rates means that lenders might just sit back and allow the rates to fluctuate until it serves them best.  If this is the case, you could be stuck with a terrible interest rate for months, or even years.  With a loan modification, you could hire a loan modification attorney to work on your behalf to get your interest rate lowered to something you can afford.  As opposed to a spiking subprime interest rate, you might be able to get something substantially lower and/or a fixed interest rate.  Either of these could go a long way towards lowering your monthly mortgage payments and giving you more financially flexibility and stability.  Many analysts are stating that the interest rates will spike heavily once the government’s efforts to buy mortgage-backed securities ends.  Any efforts to kick-start the economy will collapse if that happens, and refinancing will be near impossible.

A California loan modification attorney might just be your new best friend.  They have options available to you that you may not have explored, or even thought about.  While refinancing at times can depend upon the mood of the banker, a loan modification attorney will work aggressively to get you terms you and your family can live with.

Avoid the fluctuating interest rate game and contact a California home loan modification attorney today!

About the Author:

Loan Modification Help Center is a free gathering place for resources and information on the rapidly evolving field of loan modifications. The internet is over flowing with information on this subject with the problem being that there can be as much bad information and advice as good. For a homeowner struggling with mortgage payments and facing the possibility of foreclosure, the importance of getting straightforward information with no agenda or ulterior motive is of utmost importance. The resources we make available at Loan Modification Help Center are just what homeowners need as they seek to understand their options and get the information they need to make the critical decisions involved in a loan modification. For more information about mortgage loan modification visit loanmodificationhelpcenter.org.

Article Source: ArticlesBase.com - Loan Modification Help Center – Do Not Trust the Interest Rates

Arizona Loan Modification EP.15

Loan Modification In Bankruptcy

Question: My mother filed bankruptcy - Chapter 7. She kept the house she lives in.?

She receive a discharge from the bankruptcy court. She has a personal injury lawsuit pending. Now the loan company is saying she needs a letter from the Court - releasing her? She has a Discharge Order. She receive a modification for 3 month trial - never missed a payment - never been late. Theo f loan company is sending her Court papers saying she owes them money and plan to foreclose. We are confused & need to know what to do about this. We originally hired a bankruptcy lawyer who filed the bankruptcy. He hasn't been much help. Any suggestions?
I believe the loan company is trying to cillect becaused we modified our loan. The strange part is the modification came from the loan company and another department in the same company is threating her with court papers. And we are getting the run around.

Answer: Here is what you do --

1. Contact the BK attorney. Tell him if he doesn't handle the matter that you will contact the State Bar Association and file a complaint. Also, you want a copy of his "Professional Liability" insurance policy, so that you can file a claim against it.

2. Contact the BK Trustee. Tell him what's going on because it's possible that the loan company is violating your civil rights by attempting to collect a debt that was discharged.

3. Learn to stand up for yourselves

How to do a Loan Modification