Living in Indiana, fighting 2nd mortgage in Maryland (Greentree)

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Winona Wondering

LoanSafe Member
Jul 4, 2013
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After attempting to obtain a loan modification and additional assistance by working with our primary (Chase), the 2nd lender would do nothing for us (Greentree). Had to make more money to survive and found employment 650 miles away. Received a relo package and also a corporate home buyout option. The house was then in 2009 and is now in 2013, way underwater by about $150K. Presented the corporoate buyout offer of $228K in July 2010 to the primary and it was initially accepted but the 2nd (Greentree) said no way. We had no other options and because of this, we were forced to face foreclosure on the home. We haven't been in the home since September 2009 and the locks were changed then as well. It has been almost 4 years and the foreclosure still hasn't happened. After being threatened repeatedly by Greentree, and after numerous phone calls and attempts to negotiate with them, they finally sent an order in December 2012 that they would garnish our wages. It was like a margin call from them. Give us all of the $76K now or no deal. We told them no deal. If I had known that I could possibly have settled with them after receiving the court document in December, I certainly would have tried. Our attorney never mentioned this and said our only option was CH13 because our income was too high for CH7. We filed and that turned into an absolute nightmare. The law is rediculous. I've petioned for a voluntary dismissal because I can pay my other creditors. Our question is this: After we stabilize our creditors (which we are now doing), can we still get an attorney to help us fight Greentree? I would be willing to settle for 5-10% if it is possible to do that. We want to fight this and beat Greentree. Any advice?
 

Evan Bedard

Call 1-800-779-4547
Loan Safe Mortgage
Aug 26, 2007
18,837
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48
San Diego, California
www.LoanSafe.org
It has been almost 4 years and the foreclosure still hasn't happened. After being threatened repeatedly by Greentree, and after numerous phone calls and attempts to negotiate with them, they finally sent an order in December 2012 that they would garnish our wages. It was like a margin call from them. Give us all of the $76K now or no deal. We told them no deal. If I had known that I could possibly have settled with them after receiving the court document in December, I certainly would have tried. Our attorney never mentioned this and said our only option was CH13 because our income was too high for CH7. We filed and that turned into an absolute nightmare. The law is rediculous. I've petioned for a voluntary dismissal because I can pay my other creditors. Our question is this: After we stabilize our creditors (which we are now doing), can we still get an attorney to help us fight Greentree? I would be willing to settle for 5-10% if it is possible to do that. We want to fight this and beat Greentree. Any advice?
Welcome to the community.

I'm sorry to hear the scoundrels at Green Tree moved forward with a judgment after 4 years, unfortunately from my understanding MD and FL are the only states that legally allow a secured junior lender to sue the borrower before the foreclosure has been completed. Many times they will attempt to work out a settlement once the loan has been charged off, or possibly even a payoff plan that will allow you to settle the loan for a discount.. At this point it's going to be difficult to work out a settlement for such a small amount, there's technically nothing stopping them from coming after you once the bankruptcy is dismissed and the debt is then valid. But this does not mean you may not be able to work out an agreement for less then the amount owed, one thing I've learned over the years is that NOTHING is certain when dealing with these servicers. You can find reputable attorneys using the link below, make sure they are in Maryland.

National Association of Consumer Advocates | Consumer Protection Advocates and Attorneys - Help for Consumers
 

Winona Wondering

LoanSafe Member
Jul 4, 2013
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Evan, thanks for the response. I'll locate an attorney, but if I understood you correctly, it needs to be an attorney in Maryland? So even though I am employed and live in Indiana, I need to do that?
 

Winona Wondering

LoanSafe Member
Jul 4, 2013
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Thanks. I don't believe that the attorney I retained early in the CH13 process was experienced enough to help me determine the right course of action. At the time when I first met with him, I showed him the judgement paperwork and he said not to worry about it because we would filed CH13. In hind sight, 20-20 and all, I wish I would have at least asked if it might be better to negotiate or petition for an extension to negotiate, rather than draw all of my income and innocent creditors into this. Isn't it my attorney's responsibility to counselme on all the options as opposed to flatly stating that BK is the only option? I'm now wondering if I should dismiss my attorney and look for another to possibly help me fight this to an equitable ending. I'm concerned that Greentree is going to garnish my wages, confiscate my savings account, or try to confiscate personal property... or all of the above.
 

Evan Bedard

Call 1-800-779-4547
Loan Safe Mortgage
Aug 26, 2007
18,837
48
48
San Diego, California
www.LoanSafe.org
I showed him the judgement paperwork and he said not to worry about it because we would filed CH13. In hind sight, 20-20 and all, I wish I would have at least asked if it might be better to negotiate or petition for an extension to negotiate, rather than draw all of my income and innocent creditors into this. Isn't it my attorney's responsibility to counselme on all the options as opposed to flatly stating that BK is the only option? I'm now wondering if I should dismiss my attorney and look for another to possibly help me fight this to an equitable ending. I'm concerned that Greentree is going to garnish my wages, confiscate my savings account, or try to confiscate personal property... or all of the above.
The problem is that bk attorneys specialize in bankruptcies and may not be up-to-date or knowledgeable about state foreclosure laws and defenses. They get paid by consumers filing bk, and many times that's exactly what they'll suggest. You'll need to work with an attorney licensed in the state the property is located as foreclosure laws vary from state-to-state..