Posted: Tue Nov 25, 2008 6:35 pm Post subject: 2nd mortgage has been charged off. Can lender come after me?
Hello,
I live in Arizona and I have an investment property that I got behind the mortgage payments because the tenants didn't paid their rent for 8 months.I was trying to work with the banks before I was late on the payments but neither of them first or second wanted to deal with me.After I was 5 months behind the payments they wanted to talk to me and I was able to work a deal with 1st mortgage and I was thinking I will do the same with second (Chase) but today I went to Chase bank to bring the account current they told me that the account was paid off in full,after the branch manager made few phone calls I found out it was charged off and the recovery department will contact me to settle.I was very surprised because 4 days ago I spoke with a chase representative on the phone and she told me the exact amount I have to pay to bring the account current and I need to to that by the end of the month and I will be fine to start the payments again.It was never mention to me the charged off may occour.What I should do next,keep doing the first mortgage payments and move on?
Please advice what are the chances for Chase to come after me.
It's really surprising that they charged it off after telling you that you will be able to bring the account current. You should speak to the branch manager and tell him/her about the representative who had told you about that you can bring the account current. If they are not ready to listen, then you will have to start paying the dues to the collection agency and not to the bank. Get the details about the collection agency from the bank and contact them.
Feel free to ask if you have further queries.
Sussane
denisa.k Guest
Posted: Wed Nov 26, 2008 10:06 am Post subject: second mortgage charge off
Hi Sussane,
Thank you for your response.
I did spoke with the branch manager about what happened.I was wondering if the anti-deficency law will apply in my chase
Arizona is an anti deficiency state. According to Arizona's anti-deficiency laws, the lender will not be able to sue a person for any losses on a home after foreclosure. So if your property goes into foreclosure, you will not have to pay the deficient amount to the lender.
Feel free to ask if you have further queries.
Sussane
denisa.k Guest
Posted: Fri Nov 28, 2008 9:21 pm Post subject: second mortgage charge off
Thank you Sussane.
I doubt second mortgage will foreclose because the property value is up side down with around 100 K and I owned $50,000 on the second.
I am hoping I will be able to settle with them for few K's.
As the second mortgage lender has already charged off, I don't think they will foreclose the property. _________________ Procrastination is the enemy of your financial sucess
JESSIEMO726 Guest
Posted: Thu Dec 18, 2008 8:16 am Post subject: MICHIGAN CHARGE OFF ON SECOND MORTGAGE
MY LENDER CHARGED OFF OUR SECOND MORTGAGE AS WE WERE WORKING ON A DEAL. OUR FIRST AND SECOND ARE WITH THE SAME COMPANY CITIMORTGAGE. NOW THEY WANT TO WORK WITH US ON THE FIRST, STATING WE NOW QUALIFY BECAUSE OUR MONTHLY DEBT IS LOWER DUE TO THE CHARGE OFF. THEY CANNOT TELL ME WHAT IS GOING TO HAPPEN WITH THE CHARGE OFF. IS IT BEST TO JUST SIGN A DEED IN LEAU OR FORECLOSE? IF THEY DO WANT MONEY FROM THE SECOND THEN WE CANNOT AFFORD TO STAY? VERY CONFUSING AND
THE MORTGAGE COMPANY DOES NOT SEEM TO HAVE ANY ANSWERS OR WILL NOT GIVE THEM????
Charge off does not mean that your second loan is forgiven. It means that the original lender is not bothered to collect the mortgage from you. The lender has thus sold it off to a collection agency who will in turn collect it from you. As far as I know, though you go in for a deed in lieu or a short sale, you will have to pay off the collection agency.
Thanks,
Jerry
Diana 123 Guest
Posted: Tue Jan 13, 2009 11:49 am Post subject: 2nd Mortgage Charged off with Chase also
Good Morning,
My situation is very similar with Denisa. The only thing is that I was contacted by a collection agency who told me that i would get a garnish of wages because it was too late to settle for anything. I was contacted by different people who were asking for money, but they never wanted to give me information of who they were or anything in writting. Im in this mortage debt because I helped out family. At the time I did'nt know what I was getting into. I was only 18 and I just did what needed to be done to help out family. Im 23 now and my credit is ruin, I will more than likly file for bankruptcy. But Chase has made it very difficult for me to understand exactly what was going on with the second mortage. The first loan was worked out fine, but i dont understand how the same company is being very complicated with the second loan, when the first loan is ok ? Im really confused and I dont know where to go to get the right information. Everytime i call to find out whats going on with the charged off account, no one knows anything. But then out of the blue I get these phone calls from collection agencies threathing to collect my wages to pay off the debt, I literally had this one collection agency tell to shut my mouth and deal with it because i was'nt reponsible enough to take care of business. Do you have any legal advice on what i can do. Im currently active duty military which helped in the first loan, and Im stationed in arizona, the property is in Virginia.
Chase has charged off your second mortgage. A charge off means that the lender has sold your mortgage to a collection agency who will in turn collect the debts from you. You will now have to pay off the debts on the second mortgage to the collection agency. As Chase has already charged off the debt, they will not be bothered to know any details about the debt. _________________ Procrastination is the enemy of your financial sucess
musaxxxx Guest
Posted: Wed Jan 14, 2009 12:42 am Post subject: second mortgage
if my second mortgage is charge off can i file bankrupty on chapter 7 or do i have to file bankruptsy on chapter 13even if it has become a collection.
Filing bankruptcy will not depend upon a charge off. Filing bankruptcy will depend upon your financial ability to pay off the debts. This will be determined by the Means Test.
Moreover, you haven't mentioned as to why you want to file bankruptcy. There are various ways to avoid it. You can check the given link to know more about how you can avoid bankruptcy:
http://www.mortgagefit.com/bankruptcy/avoid-bankruptcy.html _________________ Procrastination is the enemy of your financial sucess
Diana Guest
Posted: Tue Jan 20, 2009 10:45 am Post subject: Charged Off Loan
Now, How can I determine which is the correct collection agency, because now I'v had two contact me, and they both say that they represent Chase and that Chase is their client. The first collection agency harassesed me for a couple weeks and then stopped. They had wanted a lump sum of 15,000 and they had said that that would erase the whole dept of 65,000. I mean, it's not like I carry 15,000 in my pockets?. Now this new collection agency that has now contacted me, is easier to talk with. But the Agent says that they spoke with Chase and that they agreed to have a full balance of 56,000 and that they will want 5,600 down in a lump sum and there after that will be $120 every month. The thing though is that they wanted that by today and the agent first contacted me last thurs. How Do I know who to trust if Chase has already sold it off to someone else? Do they sell to several collections agencys to see which one can get them a better deal?
I'm completly confused. I really dont think its worth the stress. I'v talked with my parents who live in the property and I 'v asked them to move to a different place thats more affordable and worth forking out alot of money. I'm more than likely definitly looking at bankruptcy because the first loan on that property is behind on payments also, and although a modification has been arranged, it's still difficult. Plus I have another property that my co-signer had decided not to make any payments at all and has now been behind for over 180 days. My total debt in real estate is 500,000. I dont even live in the properties. I co-signed to help family when I was 19, which I don't even understand because we got the houses at the same time , why would a bank even approve that much for an 19 year old ? I wish I knew better back then. I had no idea what I was getting my self into, I need serious help and guidence, any sugestions to where I may get the proper help and won't screw me over anymore than what I am.
Thanks
smithsussane
