Chapter 13 BK and Modification

[formykids]

If there is any advice for me I would welcome it greatly. Sale date is set for October 8th. I am in Chapter 13 and have fallen behind in payments (again). They are too high and did Chap. 13 to buy time to do loan modification (not successful). Current loan (with Saxon Mortgage) is now being serviced effective Oct 1 by Everhome. Any advice on how to save my home would be appreciated. I am going to file a postponement of sale in order to file a motion to reinstate the Chap 13. Can the bankruptcy judge assist with expediting loan modification with new servicer?

Alot of questions - sorry. Knowledge is power!

[formykids]

***,

I am so new to this site and am greatful to have found it. I don't know where to post a new question but hopefully you will see this and be able to respond.

In April, i filed for Chapter 13 in order to save my home and start over. My husband is in car sales and has taken a huge hit with the economy. Long story short we fell behind in the mortgage payments (5781). We hae $4k to offer the bank but the court granted the motion for relief of stay. We are going to file a motion to reinstate and i am going to file a postponement of sale (2 additional weeks) in order to figure all this out.
My questions:
- Should I (or get an attny) to file a QWR? and loan doc review? I know I have been a victim of predatory lending. My payments are $2900 - we have 10.25% interest rate (resets q. 6 months!).
_ I have good income $80K
- Notification just came that the loan will be serviced by EverHome (from Saxon) effective 10/1 - is that a silver lining? Can the sale be halted in order to work out modification with them?
- Can the bankrupcy judge speed up the modification process or halt it until a decision made?

Phew! Thanks!

[Moe Bedard]

Hi formykids,

Welcome to the forum and thank you for joining............

You would really need to speak to an attorney as to what you would need to do here because with a sale date of October 8th, that leaves you only 3 business days.............and it would depend on the foreclosure laws in your state at to the timeframe after that.........
You would need to do this first because doing a QWR requires time.......once you send it they would have 20 business day to acknowled receipt of the request in writing and 60 business days to comply.


EverHome requires that you fill out a financial statement and fax it in to them........click on the link here for the info..........
EverHome Mortgage Company

I am not sure that they will allow you to apply with the BK some investors require permission of the court first............you will have to see.

[formykids]

***,

Thanks for the reply. Here's my plan. I set up a meeting with the BK Attorney for tonight. Since my BK has not been confirmed, they say they will file a motion to have the BK re-instated. I will also ask them to send a request for me to do some type of modification with my lender. I also will get a postponement for the sale (2 weeks) and see what happens.

Do you or anyone else have any information about how this process works? I keep looking to see if there is any informatio which allows a BK judge to modify loans? or force mortgage companies to work out plans with people losing their homes?

Major Questions:
1. Since EverHome is not servicing the loan does that mean they have to go through all the legal steps again (like Saxon)? I can't understand why they would switch so late in the game?

2. Would it be prudent to question the validity of the original loan documents and the legalese since it is changing hands and them may vulnerable to provide them? or am I too hopeful.

Thank you so much for all your help. I will continue to post my progress. I have no other choice but to believe that this will work out for me and my children.

[Moe Bedard]

Loans switch servicers and investors hands all the time..........so that is not anything new............

There isn't anything in place that forces the investors to do anything to keep struggling homeowners in their home........modifications, short sales, deed in lieu, it is all voluntary as to whether or not the investor wants to provide those options.

Ask the attorney the question about the loan docs.........and see what steps they say you should take........
You would need to have the attorney work with the servicer on your loan currently.........

Please let us know how it goes..........