What Now?

[gentlewolf1]

stopped paying mortgage in January, 2009. We have moved, was talking with Sergio about a DiL, but now he does not return phonecalls. I have sent all the paperwork in, the VA sent someone in to inspect the house, then Citi talked to my realtor, otherwise it would have been deemed abandoned. I cannot go into foreclosure, my husbands clearance will be lost if that happens, but no clue what to do next. We are in Fla. Any ideas on my next step?

Stacie

[trappedincali]

Why would your husbands clearance be in jeopardy? I have a clearance and filed Ch 7 bankruptcy many years ago and know of many cases of folks who have run into financial problems while retaining clearances.

The governing agency overseeing clearances usually don't have a problem with folks who have financial hardships. The main reason they are concerned about folks with financial problems is the potential for them to be blackmailed or coerced based on those financial problems. If you are acting in a responsible manner and not hiding anything, there's no reason why they should be concerned enough to revoke your clearance. In most cases, they simply just want to know the facts.

Also, you may want to double check to see if you need to inform them about the foreclosure at all. There are specific situations that require disclosure, such as change of marital status or bankruptcy filing, but a foreclosure may not even be one of them.

[gentlewolf1]

well talked to Sergio, DiL declined due to VA will only pay so much, and not enough for Citi to make them happy, so since no bites on short sale either I guess the house goes into foreclosure, then the bank will get nothing for it as the market is at a standstill and houses are not selling.