My 2nd offered me to pay them $7,000 to satisfy my $90,000 balance. - Loan Modification Forum

iOwnSomeMNTA · 10-12-2009, 05:58 PM

My 2nd offered me to pay them $7,000 to satisfy my $90,000 balance.

I'm going thru chapter 13

What should I do?

caldwellb02 · 10-12-2009, 06:07 PM

Gosh I saw your thread and I thought "go for it" but I do NOT know whether that is best if your going through a bankruptcy.

I would go for it if my lender offered me less than 10% to settle my second.

Evan Bedard · 10-12-2009, 06:09 PM

Quote:

My 2nd offered me to pay them $7,000 to satisfy my $90,000 balance.

I'm going thru chapter 13

What should I do?

Wow that is amazing!

But yes since you are currently going through BK I would strongly advise to first consult with your BK attorney to see what they think. Personally that is a great offer to get rid of all that debt...

jhn_plsn · 10-12-2009, 06:15 PM

If you were to settle the second by taking the offer would you still have to file BK? If so you may be able to file a ch 7 if you qualify, but you would have to wait as the 7,000 would be considered a prefered payment and the trustee would ask for it. In the 13 they get nothing so if you are interested make a counter offer of 5%. Otherwise stay the course on the 13 and reap the benefit of the lien strip.
Who is your second with and is the lender the same as your first?
Are they offering any kind of payment plan?
Will they remove thier lien upon agreement rather after the payments are completed?

Kimbly · 10-12-2009, 08:10 PM

Gosh, I hope I get as good of an offer (not filing BK.... that I know of!).

Who is your 2nd mortgage with?

Irish Gal · 10-12-2009, 08:29 PM

Quote:

Originally Posted by Kimbly

Gosh, I hope I get as good of an offer (not filing BK.... that I know of!).

Who is your 2nd mortgage with?

Hey Kimbly,

Mine are CW/BofA-HSBC. Both of mine are non-recourse (CA), so if I foreclose, the 2nd (HSBC) gets nada. A few mos ago I rec'd a 10% settle offer from HSBC. Due to the lack of funds (they want lump sum), I was not able to. I just got the same offer again (in writing through a debt collection agency that told me HSBC still owns the note) to settle. The letter said to call about "installments" or w/ any questions. So, I took the bait and called to ask about installment payments and w/ questions about possibly settling in the future, if/when I secure employment and possibly resolve the first to my advantage. The guy I talked to was not the best, and pulled a bait and switch on the phone re settlement offer in writing as of 09/09. Although the letter said 10%, he said they wouldn't settle for less than 30% and no installments allowed. I told him "thanks, but no thanks at this time." I told him if things changed, I would call and offer 3-5% at most, in this econ and due to the fact that HSBC will get NOTHING if I foreclose. So, depending on the recourse/non-recourse status and how late one is, there is definitely room to negotiate a decent settlement. For those trying to settle, don't just jump at any offers, esp. if you have all the leverage. Just my .02 cents. Good luck, everyone.

BadBobMo · 10-12-2009, 09:17 PM

Stay the course 13-but make sure you can strip-down the 2nd.
To all my friends here on Loan.safe try and wait for the 2MP to gain legs and let the lenders use the HAMP money to pay off your 2nd. If that work's out for you and you have had a cc-charge off you might be able neg. w/your cc company and stay out of BK.
Spread the word!
P.S. the lenders are neg. w/Timmy and the good old boy's for a better pay-off, go figure!!

auroraproblem · 10-13-2009, 07:29 AM

The 2MP will be no incentive at all for most of us who roll past 180 days. As it is outlined now the incentive to extinguish drops to 3% after 180 days. Many of the seconds will get more than that from collection company, at least from what Wells Fargo had indicated to me. Maybe after it is increased, but even then many of us would have far passed any 180 days so our accounts would have been charged off and closed, likely in many cases no longer even with the servicer.

Personally if you have easy access to the 7k I would take it. Get it off the plate and then either consider a chapter 7 or no filing at all. I tried to get Wells Fargo to do the same thing, they were too stupid to see the opportunity (mainly I wanted to feel like I had met some sort of commitment with them prior to filing bankruptcy). The money I would have settled with though was borrowed from friends and family and I still would have done it.

Good luck!

caldwellb02 · 10-13-2009, 08:03 AM

Seconds always complicate this already complicated process. If I could pay 5% to remove the second, my loan would still be worth more than my home value, but it would be a better place to negotiate from. question is - who do I negotiate with? Every time I talk with Chase it's a new person!

10-12-2009, 05:58 PM	#1 (permalink)
iOwnSomeMNTA Member Join Date: Jul 2009 Posts: 11 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	My 2nd offered me to pay them $7,000 to satisfy my $90,000 balance. My 2nd offered me to pay them $7,000 to satisfy my $90,000 balance. I'm going thru chapter 13 What should I do?

10-12-2009, 06:07 PM	#2 (permalink)
caldwellb02 Senior Member Join Date: Nov 2008 Location: Northern CA Posts: 1,783 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: My 2nd offered me to pay them $7,000 to satisfy my $90,000 balance. Gosh I saw your thread and I thought "go for it" but I do NOT know whether that is best if your going through a bankruptcy. I would go for it if my lender offered me less than 10% to settle my second.

10-12-2009, 06:15 PM	#4 (permalink)
jhn_plsn Senior Member Join Date: Apr 2008 Location: Riverside, Ca Posts: 136 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: My 2nd offered me to pay them $7,000 to satisfy my $90,000 balance. If you were to settle the second by taking the offer would you still have to file BK? If so you may be able to file a ch 7 if you qualify, but you would have to wait as the 7,000 would be considered a prefered payment and the trustee would ask for it. In the 13 they get nothing so if you are interested make a counter offer of 5%. Otherwise stay the course on the 13 and reap the benefit of the lien strip. Who is your second with and is the lender the same as your first? Are they offering any kind of payment plan? Will they remove thier lien upon agreement rather after the payments are completed? __________________ *John, Upside down big time.* *1st modified again=USBank, 3% for 5yrs, 4.95 cap for the life of the loan(no principle write down but a stable solution)* *2nd(heloc)=BofA offered three month trial at 1/3 the payment. We'll see.*

10-12-2009, 08:10 PM	#5 (permalink)
Kimbly Senior Member Join Date: Feb 2008 Posts: 204 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: My 2nd offered me to pay them $7,000 to satisfy my $90,000 balance. Gosh, I hope I get as good of an offer (not filing BK.... that I know of!). Who is your 2nd mortgage with? __________________ 1st - CW/BoA: $137k 2nd - HSBC: $75k ($33k purchase money) Current market value based on sales: $69k

10-12-2009, 09:17 PM	#7 (permalink)
BadBobMo Senior Member Join Date: Feb 2008 Posts: 194 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: My 2nd offered me to pay them $7,000 to satisfy my $90,000 balance. Stay the course 13-but make sure you can strip-down the 2nd. To all my friends here on Loan.safe try and wait for the 2MP to gain legs and let the lenders use the HAMP money to pay off your 2nd. If that work's out for you and you have had a cc-charge off you might be able neg. w/your cc company and stay out of BK. Spread the word! P.S. the lenders are neg. w/Timmy and the good old boy's for a better pay-off, go figure!!

10-13-2009, 07:29 AM	#8 (permalink)
auroraproblem Senior Member Join Date: Apr 2009 Posts: 235 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: My 2nd offered me to pay them $7,000 to satisfy my $90,000 balance. The 2MP will be no incentive at all for most of us who roll past 180 days. As it is outlined now the incentive to extinguish drops to 3% after 180 days. Many of the seconds will get more than that from collection company, at least from what Wells Fargo had indicated to me. Maybe after it is increased, but even then many of us would have far passed any 180 days so our accounts would have been charged off and closed, likely in many cases no longer even with the servicer. Personally if you have easy access to the 7k I would take it. Get it off the plate and then either consider a chapter 7 or no filing at all. I tried to get Wells Fargo to do the same thing, they were too stupid to see the opportunity (mainly I wanted to feel like I had met some sort of commitment with them prior to filing bankruptcy). The money I would have settled with though was borrowed from friends and family and I still would have done it. Good luck!

10-13-2009, 08:03 AM	#9 (permalink)
caldwellb02 Senior Member Join Date: Nov 2008 Location: Northern CA Posts: 1,783 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: My 2nd offered me to pay them $7,000 to satisfy my $90,000 balance. Seconds always complicate this already complicated process. If I could pay 5% to remove the second, my loan would still be worth more than my home value, but it would be a better place to negotiate from. question is - who do I negotiate with? Every time I talk with Chase it's a new person!

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