Compare Mortgage Quotes

Refinance Rates for Today

Please enable JavaScript for the best experience.

In the mean time, check out our refinance rates!

Company Loan Type APR Est. Pmt.

How to avoid foreclosure amidst disability and bankruptcy

We are going to end up in foreclosure,it hasn't happened yet but it will,and that's ok now. We have accepted this fact. Due to disability,wifes job loss, bankruptcy (#7) etc. it is going to happen.As twisted as this may seem,we would like to know how to speed things up or must this all just run its course.Could we inform the mortgage companies we are giving up, here's the house,we are leaving. I know this all sounds crazy,but it is now a fact that it will happen and we are going through mental hell and would like to just go ahead and move on and leave.Can anyone comment on this? Has this happened to anyone? Can this be done this way? Please give some advice.Thank you so much.

larry2's picture
larry2 | Joined: June 27, 2007 02:50 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi Mikee,

Before taking final decision of foreclosure, atleast have a talk with the lender to suggest some foreclosure prevention plans.Im sure you will find a solution.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

jenkin7's picture
jenkin7 | Joined: June 4, 2007 11:02 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hello Mikee,

I understand your state of mind. You have talked about lots of problems in your life and after going through it, I can feel you pain. To leave a house is a very painful task and you are going through it. :( But, you are not the only one here. My friend also went through a similar situation and came out of it. What he had, was a cool mind and patience. :)

You could try the option that he took to come out of the situation. What he tried was a deed-in-lieu of foreclosure. In that, if you are in a default and you have tried various options and failed, you can voluntarily give back the house to the lender. But, this is possible after you have talked with your lender and you both have agreed on it. This way, your credit ratings would not be having a negative effect and you would get an opportunity to apply for loans in future.

You also talked about bankruptcy. So have you filed for one?

Do feel free to ask questions.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Samantha's picture
Samantha | Joined: September 16, 2005 11:59 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi Mikee,

Welcome to the forums.

It seems that you've gone through a lot of financial hardship. But you have to fight it our or else everything will be messed up.

I am not sure but have you applied for any kind of disability insurance so that in case you are into such a situation, at least you can pay down the mortgage?

You can definitely inform the mortgage company that you want to leave but that's not the solution here – I mean you will lose your home but the unpaid debt will be reported to your credit report and that's really going to harm your credit. What I shall suggest that instead of declaring that you are giving up why not explain your situation to the lender and request him to suspend payment for a while so that you can gather the funds and get current on the loan. Or else, request him to provide you with an alternative payment plan.

There are some other alternatives to foreclosure; these constitute the loss mitigation plans - the ways of avoiding foreclosure.

Hope this helps..

God bless you.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Thank you so much for your responses. Yes, bankruptcy is in the works (#7) I don't think the DIL will work as we owe more than the house is worth.We are actually ok now with the foreclosure thoughts. We will not be able now or in the future to make the payments. We have found some alternative living arrangments and would like to take advantage of it as it might not be there if we stay here for the months and months it will probably take for the foreclosure process to play out. Is it possible to just leave now or must we stay here while the process unfolds. As of this month the payments all stop. (3 mortgages) We are not sure about how to initiate the process. Seems like we probably must stay and go through the process and let the chips fall. It's become a struggle to just get through the days now. Any big lottery winners out there want to help? As of now it seems like this mess will never end. We appreciate your encouraging words.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

sara's picture
sara | Joined: July 5, 2006 03:16 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi Mikee,

I can understand your situation but let me tell you - it's been a practical move on your part. If you have got some alternative living arrangements, then that's good enough at this situation. The thought of leaving a home is indeed painful but things do at times go out of control. So, just have patience and god will help you come out of this trouble.

But hey as far as I knew, as far as the bankruptcy procedure is going on, the foreclosure is kept on hold. So, you will still have some time to get rid of the foreclosure. But for that you need money and that's where I guess the problem lies. Still I would suggest that you take a look at some of the foreclosure prevention assistance programs offered to people in financial distress and find out if these suit you.

Take Care

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

jenkin7's picture
jenkin7 | Joined: June 4, 2007 11:02 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hello Mikee,

I definitely agree with Sara on that. I also feel that even though you are going through a trauma, that you are consistent in finding a solution to end your situation is truly admirable. Do not lose the mental strength.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Does anyone know if in Pennsylvania can your wages be attached in a defeciency suit? Thanks again to all.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

We honestly can not afford anymore to keep a house. I am on a permanent disability, but this all happened before we got this house so disability insurance won't help. We know there is help out there to try and keep the house but can't keep the payments going. This is why we have come to accept the foreclosure situation. We contacted the lenders about a month ago and explained the situation and asked what help they could offer. Not one of them offered any help at all. (unbelievable but true) I guess it's just as good none was offered as we wouldn't be able to keep up the payments anyway. Seems like all this will never end. You don't know how much it means to have this site to talk to.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

vpdawn58's picture
vpdawn58 | Joined: June 28, 2007 12:14 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi Mikee,
I too am going through this experience. Nope, it's not twisted at all to want it over with NOW! Take a deep breath, and thank goodness for forums like this where we can ask a question, hopefully gain a little knowledge and feel human again. One of the problems I experienced through this whole thing is you just can't help but take it personally. Yea, although they say you shouldn't it just happens. We work hard and want to do the right thing, then circumstances beyond our control happen and wham! I'm new to the site but I just keep asking questions, little by little I am learning how to navigate through this mess. Hang in there and keep going! We're all in this together....God Bless

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

vpdawn58, thank you for your reply. I find it hard to just get through the day anymore. I'm worried about wage garnishment when there's a loan deficiency suit brought on. With my luck there will be. Can they attach your wages, how do they determine how much to take? There is a place we could move to and rent, but can we leave now or do you stay here until the foreclosure stuff all plays out. By that time the place we could go will probably be gone. A short sale,who do I ask, the 1st lender? What about the other 2 lenders, what can they say/do about a short sale? Questions, questions! I hope the bankruptcy attorney can maybe answer these or maybe someone here will know a answer or two. I can't imagine it getting any worse, but it probably will. Thank goddness for this site.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

To Sara, vpdawn58,jenkin7,Samantha and larry, just a note to say thank you for your responses and help. We have decided to try the short sale idea, weather it works or not, who knows. One thing for sure is the house will be going. All the helpfull ideas are appreciated but we can't now or in the future keep up the payments that would be needed. If we got help like getting a couple months of no payments, it would only prolong the inevitable. We have found a modest place we can move to and rent and I think we should take it now before that option is gone.The short sale or foreclosure and the bankruptcy will all be happenning as the next few months go by. We sure hope it's true that the day will come when this is all over, it just doesn't seem like it now. My fingers are crossed that this all somehow gets over with and we come to see that life does indeed go on. Please keep this site going, for some, it's the only connection to people who seem to really care and take their time to help people out with ideas, suggestions or wishes of hope. It's been this and more for me. I'll probably be back with a few more questions but for now I thank you all. Mikee also known as Dad

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

miller_st's picture
miller_st | Joined: January 17, 2007 04:47 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi Mikee,

You asked about what happens if the foreclosure sale does not result in recovery of all balance mortgage amount. In your state deficiency judgment is allowed. What it means is that lender can place a lien on your other properties or garnish wages after taking permission from court for it.

If you are looking to have a short sale then request the lender to waive his rights to claim deficiency judgment. That way you will at least be clear from paying whatever balance is left unrecovered from sale of the house.

Miller

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Niicss's picture
Niicss | Joined: October 3, 2005 11:54 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Short sale will be quicker than foreclosure procedure. It will also help you to shift early into the rented apartment you have located. But as Miller said request the lender to waive his right to claim deficiency judgment (get it in writing). Many lenders do agree to it, so it is worth putting your request.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

I had information the deficiency amount in PA was not included in what is allowed for wage garnishment.There are 5 things allowed and this was not one of them. Here is what I was told:

Mortgage deficiency suit
Question In Pennsylvania can wages be attached when involved with a mortgage deficiency law suit? If so, how do they determine the amount to take from the wages? Thank you.

--------------------------------------------------------------------------------

Answer Only under very limited circumstances does Pennsylvania law permit the garnishment of wages. Garnishment of wages is a seizure of wages while they are still in the control of the employer, and have not yet been paid out to the employee. An employee's wages, salaries and commissions may be taken from an employer through appropriate legal procedures to satisfy five kinds of debts:

1. judgments for child or spousal support
2. PHEAA student loans
3. room and board for four weeks or less
4. back rent on a residential lease
5. obligations relating to final divorce distribution

Garnishment of wages can be accomplished only by a court order directed to the employer and no such court order can be issued without fair notice to the debtor/wage earner. Other than the kinds of debt listed above, no other debt or legal obligation can give rise to wage attachment in Pennsylvania.

Please, if anyone cares to comment please do. I'll check back every once in a while to see what others have to say. Thank you.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Thanks Mikee for sharing information on when wage garnishment is allowed in pa. I was also looking for information on this very topic for the last few days.

So it seems that after getting a deficiency judgment the lender cannot garnish wages for recovery of his dues. That's a big relief.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Wow, that felt good to give something back to this site after all they have helped me with. And your not just whistlin' dixie when you say that's a big relief. Still, if anyone has a comment on this, please post it.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

In case I was confusing when I was asking for comments, I was asking about the wage garnishment. I'm struggling as it is and although from my other post it looks like garnishment can't be done for a deficiency suit. My thinking has become now like everything that can go wrong, will. So if there are other comments about the garnishment thing, please post them. Thank you.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Niicss's picture
Niicss | Joined: October 3, 2005 11:54 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

[quote:1644d39cae]I'm struggling as it is and although from my other post it looks like garnishment can't be done for a deficiency suit. My thinking has become now like everything that can go wrong, will. So if there are other comments about the garnishment thing, please post them.[/quote:1644d39cae]

You are right Mikee. In PA wage garnishment is only possible for child support, student loans and federal taxes. Your wages cannot be garnished for recovery other debts. On this page also you will find confirmation of the fact that wage garnishment is not possible for consumer debt - http://www.cccsintl.org/susan/garn.htm

Niicss

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Niicss, thank you for the confirmation on garnishment. It's so important and when it seems like everything is going wrong, getting confirmation on anything positive is a big relief. You like to hear it over and over that something, anything went right for once.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

blue's picture
blue | Joined: October 21, 2005 09:17 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Mikee, every state has its own laws about garnishment and you live in one of the four states where wages cannot be garnished for recovery of consumer debts. The four states are Texas, North Carolina, South Carolina & "Pennsylvania".

Thanks
Blue

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Blue, Thank you for that response, like I said before, when everything is going wrong, it's a relief to hear something positive once in a while. If you might know about this-if a mortgage company goes ahead with a deficency suit, can it be included in a bankruptcy #7 ?

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

sara's picture
sara | Joined: July 5, 2006 03:16 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Well Mikee, I don't think it is possible to include the mortgage debt in the bankruptcy Chapter 7. This is because the lender will already take back the money he has invested through foreclosure and then ask for a deficiency judgment. So, I don't think there's any need to include the loan in the bankruptcy.

Take Care

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

blue's picture
blue | Joined: October 21, 2005 09:17 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

[quote:804478cdf4]If you might know about this-if a mortgage company goes ahead with a deficency suit, can it be included in a bankruptcy #7 ?[/quote:804478cdf4]

Mikee, if foreclosure occurs before you file chapter 7 and lender is able to get a deficiency judgment for the balance dues then this balance amount can be included in Chapter 7 case.

Thanks
Blue

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

So there is an advantage to waiting on the BK until after the foreclosure and the time allowed to file a deficency suit has passed. If I were to file #7 before the lender filed the deficency, I can not include it in my BK? Would this be correct?

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Sorry, I need to add to my post above. If the foreclosure happens after I file #7 I would not be able to add the deficency suit to it, would this be correct?

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Samantha's picture
Samantha | Joined: September 16, 2005 11:59 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi Mikee,

Welcome back to the forum.

If the bankruptcy is filed prior to the foreclosure, then the lender cannot initiate the auction until and unless he receives the permission from the bankruptcy court to move on with the home sale. So, till the court gives permission, the lender cannot hold the auction and even ask for the deficiency if at all the sale price is lower than the outstanding balance.

Hope this helps..

God bless you.

Samantha

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

So as long as the lenders are in the BK, this deficency stuff will be taken care of. If the BK is first it's like Samantha said the lender can't initiate, if it's after it's like Blue said it can be added to the BK. I think I might be able to sleep tonight. Thanks a million again to the folks of this site, you have a life saver web site going on here. I don't know if you realize how much good you do for people. Keep treating people who have run into some bad times like human beings.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

carnahandavid's picture
carnahandavid | Joined: December 21, 2006 04:07 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi Mikee,

[quote:d1afa94090] If the foreclosure happens after I file #7 I would not be able to add the deficency suit to it, would this be correct?[/quote:d1afa94090]
Court gives order granting discharge of all dischargeable debts which exists on the date chapter 7 case is filed. So if lender is not able to get court orders to recover balance amount through deficiency judgment before you file chapter 7, you will not be able to include it in the case.

We will all prey that you be able to come out of this big financial crisis presently in.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Carnahandavid, with the understanding that the BK puts everything (foreclosure) on holdbut wouldn't I be including the lender in my BK as a debt I can no longer pay (mortgage)? So if the lender files the deficienty suit sometime it wouldn't matter because they are included in BK. Confuses say "this is confusing, don't go to sleep just yet."

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

carnahandavid's picture
carnahandavid | Joined: December 21, 2006 04:07 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Mikee,

You are filing Chapter 7 which will temporarily stop the foreclosure process until the lender is able to get permission to go ahead with foreclosure. So filing chapter 7 will not stop foreclosure but only delay for some time.

But if you were filing chapter 13 then it can be possible to include the mortgage in the plan and make missed payments from your income as per the repayment plan set and [url=http://www.mortgagefit.com/foreclosure/17ways-avoid.html]avoid foreclosure[/url].

[quote:14aa51bf26]but wouldn't I be including the lender in my BK as a debt I can no longer pay (mortgage)?[/quote:14aa51bf26]

Like I said being a secured loan lender can foreclose and bankruptcy filing cannot stop it but only delay up to the time lender is able to get the permission to foreclose.

[quote:14aa51bf26]So if the lender files the deficiency suit sometime it wouldn't matter because they are included in BK.[/quote:14aa51bf26]

You are including one of them in bk, it is the mortgage debt or the deficiency amount. Both are occurring at different times and cannot be part of chapter 7 together.

Deficiency judgment is included in bk or not depends on when foreclosure occurs.

Deficiency judgment can be included in bk if foreclosure has already occurred and lender has been granted a deficiency judgment to recover the balance amount. After foreclosure, the deficiency amount can be included in chapter 7, which is not so for actual mortgage balance.

If all this sounds confusing then feel free to ask. I will try to explain in a simpler way.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Mortgage debt would be used in BK if it is before the foreclosure and it's the deficiency amount used in BK if it is after the foreclosure? Is this correct?

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Samantha's picture
Samantha | Joined: September 16, 2005 11:59 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi Mikee,

I think you are thinking in the right way. If you haven't filed bankruptcy Chapter 7, and the lender declares a foreclosure, then the deficiency amount can be included into the bankruptcy. But if bankruptcy is filed earlier than foreclosure, then the deficiency amount cannot be included into the former process.

However, if you file bankruptcy earlier than foreclosure, you can include the mortgage debt but this does not mean that you don't have to pay down the debt. If it's Chapter 7, your debt is discharged and that does affect your credit score. But then, if you can pay it off within a few years, and inform the credit bureaus, your credit report will reflect that you have paid off the mortgage though it will be marked as late payment. At least, such a payment will help you in improving your score to some extent.

Hope this helps..

God bless you.

Samantha

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

" but this does not mean that you don't have to pay down the debt."
Unless it is #7, if it is #7 I don't "have to pay" down the debt?i s this correct?

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

jameshogg's picture
jameshogg | Joined: December 20, 2005 02:58 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Welcome Mikee,

If it is Chapter 7 that you've filed, then you need not pay down the debt. But I think Samantha meant that if you pay down the debt inspite of [url=http://www.mortgagefit.com/know-how/filebankruptcy.html]filing bankruptcy[/url], then it will have less negative affect on your credit report.

Thanks

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Thanks to all for trying to get it through my thick skull. I think I got it now. I'm covered no matter which way it goes...I think.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

miller_st's picture
miller_st | Joined: January 17, 2007 04:47 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

[quote:db95823e36]Thanks to all for trying to get it through my thick skull. I think I got it now. I'm covered no matter which way it goes...I think.[/quote:db95823e36]

That's ok Mike. We are here to help you always. You can ask as many times as you like until it is completely clear to you. It is better than taking a wrong decision and suffering.

But you must have also learned that having both foreclosure as well as bankruptcy will ruin your credit profile. Are all other options really shut off?

Miller

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Seems to be. No matter what help I might get, if the monthly payment amounts can't be reduced, I'll just be in the same situation again. None of my lenders offered any help at all, even after many years of never missing a payment. Due to job loss and health it has to come to an end. Not only can I now not keep up the payments I can't keep up the maintinence. My children grew up in this house, there's alot the goes through your mind while your cleaning out and packing up. Somehow somwhere there's a positive in all this.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

jameshogg's picture
jameshogg | Joined: December 20, 2005 02:58 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Yes Mikee, there should always be something postive here, may be God is giving you the strength to fight against all odds so that in future if anything like this turns up, you will be prepared mentally to face it. By the way, what's the status of your discussion with the lender? What are they actually asking you to do. Did you ask them about deed in lieu?

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

We owe more than the house would sell for. I called and pleaded with the lenders about the "mortgage modification" and none offered any help at all. I was shocked to say the least. All those years and we were never behind. I'm trying the short sale idea now. Unfortunatley my health has declined to the point I can't take care of the house anymore, so I'm figuring in some strange way this will be for the best. One thing for sure, I don't know what I would have done if it wasn't for this site. Thanks for the kindness, it helped so much.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Niicss's picture
Niicss | Joined: October 3, 2005 11:54 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Mikee I understand your feelings.

Did you take help of any foreclosure prevention counseling agency? These agencies negotiate with the lender to have some sort of plan set up by which foreclosure can be avoided.

In situation when lender is not listening to borrower's request it sometimes is useful to contact these agencies.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

To be honest, the lenders wouldn't be able to lower the payment enough for us to keep up and I can understand and accept that now. My health is at its worst and disability doesn't pay a whole lot and my poor wife is going to have a meltdown working 2 jobs 5 days a week, 1 of which will be eliminated in the coming months. Our credit aside (we know that will be shot to hell) when we stand back and look at it, there's a good side to this mess...somewhere. I could write a book in explaining all the good the bad and the ugly we've endured the last few years. If alot of things didn't happen, we would not be going through any of this. But as they say, "shit happens". So I guess you could say we're trying to make the best out of a rotten situation. Anyway, I'm sure we have a bumpy road ahead, but again as they say, "we'll just take it 1 day at a time". I'm sure we will have a question or 2 that I'll ask in this forum and I'll give you an update every once in awhile on just how bumpy the road ahead is. Many many thanks to all of you. Thanks for treating me like a fellow human being and not the dumb ass I feel like sometimes.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

blue's picture
blue | Joined: October 21, 2005 09:17 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi Mikee,

The situation you are in can make feel the same way for any of us. You need good amount of courage to keep your mental balance right in such kind of situation.

Your credit is going to go down thats for sure but you can recover it back within a few years.

I can only hope that your problems go away and you are in better position within a few years time. It might be that your wife gets a good job and that can help improve your financial standing.

Let us know how the things progress. We will try to provide help and guidance whenever you are in doubt.

Thanks
Blue

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Caron's picture
Caron | Joined: July 19, 2005 08:37 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Oh come on Mikee, you're quite cool. You are indeed practical enough as you say that lenders will not be able to lower the payment. And, yes, you are correct; sometimes we come across so many instances and acquire some experiences which are worth sharing with all. Such experiences do give others the strength to fight against difficult situations.

Well, if you do have a query or wish to discuss something with us, feel free to do so. It feels good to find out that we could be of some help to you.

good luck ahead :)

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

hanth23's picture
hanth23 | Joined: July 22, 2007 05:44 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Please advise whether the [url=http://www.mortgagefit.com/bankruptcy/chapter7.html]Chapter 7 bankruptcy[/url] has been discharged and whether your current financial position is good.

If the answer to the above question is yes, then you may stop making any payments on the mortgage and move out of the property. The mortgage company will foreclose the property; however since the chapter 7 bankruptcy has been discharged, the mortgage company will not make derogatory reporting on your credit.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

can anybody tell me how you go about seeing a judge to get court protection for the 6month to save your home from forecloser
thank you

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Niicss's picture
Niicss | Joined: October 3, 2005 11:54 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi chucks

Are you planning to file a bankruptcy or is your lender initiated a foreclosure procedure? If you file [url=http://www.mortgagefit.com/bankruptcy/chapter13.html]Chapter 13 bankruptcy[/url], you will be able to save your property. However, the lender will give you alternative repayment plan with which you will be able to pay off the debts within 3-5 years.

If the lender forecloses the property, then you will not be able to save the property. In a foreclosure, the lender will sell off the property and recover the debts.

Thanks.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hello to all you other folks with MBD (Mortgage Brain Damage).
I live in Arizona. You may remember Obama came out to AZ to introduce his new stimulus plan a couple of months ago. Do you know anyone who got a "Loan Modification"? I don't. But I do know Capital One took all their TARP money and purchased Chevy Chase Bank, my lender. With every statement for five years of never missing a payment, they included a little insert that read:"we do not want your house, and if you are having problems making your payment, call our 800 number so we can help. Well, I ran into some problems, health problems, combined with what is going on in the economy. So I called them, and they said, "first of all, I was not in default", so they could not talk to me. OK, payment missed, problem solved, so I call back. They talked to me for three minutes, and put me on hold for fifteen to twenty, and I restated my circumstances, and the fact that I need them to work with me, as I needed their help at this time. Not just for my sake, but for my whole family, Wife, Three Kids, Dogs, Hamsters, Fish, and the fact that this is our "Home". I designed it. It was the culmination of a life time of dreaming, and of saving for the big down payment, to finally get to design and have built our home. And we did it. And we watched the value go up, up, and away. Two years ago this home was worth just under two million, today, maybe 650K, and I have a 650K first, and I pulled out some equity to pay cash for a commercial building (that is going dark in two months, cutting my income almost in half) So here I am, like all of you, FREAKING OUT! Asking and re-asking what to do? Chevy Chase's answer, "there is nothing we will do", and so I state, what about your little note with your statements, is it a lie? So they put me on hold forever again, and when they get back on the phone, they say, "there is nothing we will do". Not that there isn't something they could do, like say, current market interest rate, amortized over forty years!?!? The bank makes money, I keep my home, what's wrong with that. And all they keep saying, "is that they are not doing anything". How is that possible? Wasn't Obama's plan designed to keep families in their homes, and stem the tidle-wave of foreclosures? It was, and yet these bankers are using the TARP money to pay each other HUGE bonuses and buy each other's companies. Well folks, my head hurts just thinking about it. I call it Mortgage Brain Damage (MBD), and like so many of you, I really do not know what to do next. I want to stay in my home, but I need the banks to work with me, and it sounds like all of you who are posting to this board do too!! I hear so many rumors, like, I know someone who just stopped paying their mortgage over a year ago, and the banks have not done a thing!?!?! Hell, I missed a payment, and I am getting nasty grams about how the bank is going to foreclose. And what about a second, can I just stop paying that, if the house is worth less than the sum of the first + the second? I (we) need to no what we can do to protect ourselves and our homes!?!?!?! I am all eyes and ears. Thanks for taking the time to read this rant, but I really need to let it out. This whole thing is major Brain Damage. Sincerely, Mark aka mawilde1

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

jameshogg's picture
jameshogg | Joined: December 20, 2005 02:58 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi Mawilde,

You need to contact Capital One and discuss your options for saving the property. You'll have to contact them and ask for a loan modification. Write a hardship letter to your lender informing him about your financial crisis. In my opinion, Capital One will accept your request for loan modification.

As far as missing payments are concerned, the lender can start foreclosure procedure only if you are 3 months delinquent on your mortgage payments.

Thanks

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

I am now disabled from injuries sustained in an auto accident. I am in the process of my appeal for disability benefits. At the same time, I am at risk of foreclosure. Are there any laws that protect families from foreclosure while in the process for applying for disability?

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

smith.sussane's picture
smith.sussane | Joined: September 18, 2008 09:57 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi Guest!

Welcome to forums!

Your query has been replied to in the given page:
http://www.mortgagefit.com/inprocess/about48111.html#197328

Take a look at it. Hope it helps you.

Sussane

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 00:08 | Post subject:

Page loaded in 0.118 seconds.