Settling 2nd With Citi After Chapt 7

Bluewater

LoanSafe Member
Apr 10, 2012
11
0
1
Hello

I filed chapt 7 back in 2010 and stopped paying my 2nd to Citi around that time. I havent heard from them in approx 4 yrs. I would like to settle the debt now so that I can get rid of the lein and sell the house. 1st mortgage is BofA 230k 2nd was approx 30k.

Home is worth 200k acording to zillow. How would you go about this? Should I call citi?, Should I hire an attorney to do the negotiations because of the chapt 7? What % should I offer after all of this time? Ive read alot of threads but havent found any that are in this situation.

THANKS!
 
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Moe Bedard

Call 1-800-779-4547
Staff member
Loan Safe Mortgage
Aug 10, 2007
26,854
467
1,000
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Southern California
www.loansafe.org
Hello,

Most people wait until they are contacted by their mortgage servicer because when you contact them, they will automatically know you are in a hurry to get it settled. This puts you in a weaker position.

But if you need to get this handled ASAP, you have to do what you have to do. I wouldn't hire a lawyer because they will simply be a waste of money and you need that cash to settle. You just have to contact them and ask if they will be willing to settle. Try not to give them too much information on why. Just see if they are willing to take a cash settlement.
 

Bluewater

LoanSafe Member
Apr 10, 2012
11
0
1
Hello,

Most people wait until they are contacted by their mortgage servicer because when you contact them, they will automatically know you are in a hurry to get it settled. This puts you in a weaker position.

But if you need to get this handled ASAP, you have to do what you have to do. I wouldn't hire a lawyer because they will simply be a waste of money and you need that cash to settle. You just have to contact them and ask if they will be willing to settle. Try not to give them too much information on why. Just see if they are willing to take a cash settlement.
Ive been waiting, but due to the chapt 7, by law, they cant contact me.
 

Moe Bedard

Call 1-800-779-4547
Staff member
Loan Safe Mortgage
Aug 10, 2007
26,854
467
1,000
49
Southern California
www.loansafe.org
Are you still in bankruptcy or was it discharged?
 

Moe Bedard

Call 1-800-779-4547
Staff member
Loan Safe Mortgage
Aug 10, 2007
26,854
467
1,000
49
Southern California
www.loansafe.org
If your 2nd mortgage was discharged, then technically they are not supposed to contact you. But you can contact them since you want to settle and of course not have them foreclose on you.