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Can a Mortgage Company Add a Credit Card Debt to Mortgage?

Posted on: 01st Nov, 2008 05:47 am
We have a mortgage through Chase. In 2005 after a tour in Iraq and my wife having cancer, we had no choice but to file for bankruptcy.
We got a 15 year mortgage in 1996 which should have been paid off in 2011, but we've looked at the monthly amount and it hasn't changed and and there is NO WAY we will have $35,000 paid off in three years. We have never missed a payment.

Is there some way they could have added to our mortgage or be changing us for the credit card we defaulted on in our bankruptcy? We've heard they are resorting to some ugly tactics. Thank you.
How much was your original balance when you got the mortgage and what is the interest rate? Did you make all regularly scheduled payments?
Posted on: 01st Nov, 2008 09:11 am
We have never missed a mortgage payment. The amount of the original mortgage was either $55,000 or $56,000. The interest rate was 6.25.
We did owe quite a lot on credit cards as my wife had to live off of them after her cancer surgery when I was in Iraq. Not sure of the exact amount we owed on the Chase card at the time we filed. Thank you
Posted on: 01st Nov, 2008 01:07 pm
You are right - if your mortgage had equal payments over 180 months (15 years) then with 3 years remaining you should have more like $15,000 owed on the mortgage. Can you contact your mortgage lender and ask for a payment & amortization schedule so you can see how your payments were applied each month and how the mortgage principal balance increased/decreased?
Posted on: 02nd Nov, 2008 09:49 am
Thank you very much. It looks as if that's what they've done. We'll be calling first thing in the morning.
Are they permitted by law to add the debt onto a mortgage without our knowledge?
Thanks again.
Posted on: 02nd Nov, 2008 03:32 pm
I'm pretty sure they can't roll credit card debt into the mortgage without your consent, and I honestly don't think a mortgage company would do that since it puts them in a riskier position. Since you did have a BK perhaps your mortgage company just has their records mixed up, it happens quite a bit to people when they have BK's or late mortgage payments, etc. I'm sure with a phone call or two you can clear things up.
Posted on: 02nd Nov, 2008 03:56 pm
I'm hoping it is just a mistake. Thank you again for the information.
Posted on: 03rd Nov, 2008 07:32 am
it is with certainty that i say a mortgage company cannot add a different debt, such as credit card, to the balance of a mortgage. as shane noted, you'll want to counsel with the company to ensure that all payments were processed as they should have been all along.
Posted on: 04th Nov, 2008 09:32 am
Thank you for having served.
As everyone notes, you need to check why the balance is what it is. While I do not know what it is, it sounds like maybe you have a 30 due in 15 mortgage which may have been mistaken to be a 15 year mortgage???
That means your payments are based on a 30 year payment but the mortgage is due in 15 years. That keeps your payments lower than a 15 year mortgage but means you are not paying off the mortgage in full in 15 years and have a balance due after the 15th year.
If you have a 15 year mortgage of $55,000 at 6.25% the monthly principal and interest payment would be $471.58. The balance left now would be about $15,400
If you have a 30 due in 15 mortgage the monthly payments of principal and interest would be $338.64 and the balance remaining now would be about a little over $40,000.
Posted on: 10th Nov, 2008 03:18 pm
yes chase did it to me into your "escrow" then your short on monthly and they raise your payments.
Posted on: 20th Jul, 2009 01:05 pm
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