I have been posting in "Ask The Attorneys" about our progress, and so I won't repost here, but in the case of rescinding the loan and bankruptcy: There are
MANY documented cases and previous findings sustantiating what my attorney is now doing for us. I will be posting the progress, and it should be fairly quick...
1. We filed a valid rescission on both of our mortgages 2 years and 11 months and 28 days after our closing date. The rescission is water-tight, the numerous TILA/HOEPA/RESPA violations are clearly there, and the all-important "Material Disclosures" were not only not made, but falsified on the ones that were.
2. We are now filing Chapter 13 Bankruptcy with the help of an experienced bankruptcy attorney who also has done numerous cases of consumer protection and real estate law litigation, and has in fact personal case history of this action in our area.
3. The two mortgages will be listed as "unsecured debt" because they are. The loans were rescinded. Our mortgage debt will be included with credit card debt and all other unsecured debt, and will receive the lowest priority repayment in our trustee plan.
YES, you can do this, yes, it has been done, and EVERYONE considering bankruptcy should make SURE that their attorney checks out the details of their mortgage to see if there are TILA violations and whether you are within your rights to rescind. Bankruptcy attorneys, until recently, usually take your mortgage balance and status at face value and assume it to be legal. You can no longer make that assumption, we all now know.
YES, you can walk away with NO MORTGAGE on your home (in Ch13), and it is happening every day. Please don't depend on your mortgage company to make this suggestion to you, they won't.
I thank God every day that I found this forum. If it wasn't for this forum, I would have never questioned what I was being told by my creditors (who are lying like dogs). Thank you thank you thank you. TB98629
