Posted on: 15th Mar, 2008 09:28 am
I have a mortgage with America's Servicing Center (which I was told is a part of Wells Forgo) and I am in foreclosure. I was in a repayment plan where I had to pay $3500 upfront, then make 6 payments of $900. After the 6 months, I was supposed to call back so my financial information could be reviewed and I could then get my mortgage modified. I paid the $3500 (by making several payday loans) and made each of the 6 monthly payments. However, I forgot to call back in Feb to give them my financial information again (the mortgage payments were being taken directly out of my checking account). I received a letter the first week of March advising me that I broke the payment plan and therefore they could not continue the plan. When I contacted them, I was advised they would review my file, because I had not broken my payment agreement (I did make the payments), however there was a laps in payments (no payment was made in Feb). I advised them that I could make the Feb and March payment at this time if need be. I was told to give them a couple of days and I would get a decision. When I contacted them this morning, I was told that I would have to start a new agreement (with a $4000 down payment and 6 payments of $1000+ for 6 months). I would have to make this payment by March 26th for the new plan to begin. There is no way I can get $4000 by March 26th!
Does anyone have any suggestions as to what I can do to keep my house? My credit is very poor and it will be impossible for me to make a loan to pay the $4000 or the $9000 that I am behind in. I don't want to sell my home. Would bankruptcy be an option at saving my home? I am totally lost as to what to do now. Please Help!
Does anyone have any suggestions as to what I can do to keep my house? My credit is very poor and it will be impossible for me to make a loan to pay the $4000 or the $9000 that I am behind in. I don't want to sell my home. Would bankruptcy be an option at saving my home? I am totally lost as to what to do now. Please Help!
Filing bankruptsy may be your only option, but how will it stop the foreclosure, will it free up enough money to catch your mortgage up? Maybe someone will come along with a little more knowledge on this and help you out, hang out, some one will be a long soon I am sure. goodluck with your situation.
Thanks for the replies.
No money was taken out of my checking account in Feb. The payment plan ended in Jan. I wasn't really paying attention to the dates though, since it was being taken out of my checking account (that's why I set it up that way, so I wouldn't have to remember to make payments by certain dates). The person I spoke with said I hadn't broken the payment plan since I had made my agreed upon monthly payments. She said the problem was that there was a laps (I assume she means in payments since none was made in Feb).
I plan on calling them again today and trying to speak to someone who could change the decision (which I don't think they will do). I read on the forum where some companies will allow you to make the payments first and then pay a lump sum after the 6 monthly payments are made. I can do that, but I can't come up with $4000 by March 26th. I can also make the delinquent Feb payment (with late fees) and schedule all payments to me taken out of my checking account, for the rest of the year. I am also gonna do some research as to what other options mortgage companies offer and see if I can get mine to agree to any of those plans. Last time I spoke to them, they seemed pretty adamant about the option they would offer, but maybe if they see I am seriously trying to come up with an option, they will bend a little.
The lender has already declared foreclosure before this agreement was made, they had set a sale date and everything. I am afraid if I delay, a new date will be set. I love my house and plan on keeping it and that's why I asked about bankruptcy. How hard is it to file Chapter 13 (is that something I need an attorney for, or can I file the papers myself) and also, approximately how long does it take? Will the foreclosure stop as soon as the papers are filed?
No money was taken out of my checking account in Feb. The payment plan ended in Jan. I wasn't really paying attention to the dates though, since it was being taken out of my checking account (that's why I set it up that way, so I wouldn't have to remember to make payments by certain dates). The person I spoke with said I hadn't broken the payment plan since I had made my agreed upon monthly payments. She said the problem was that there was a laps (I assume she means in payments since none was made in Feb).
I plan on calling them again today and trying to speak to someone who could change the decision (which I don't think they will do). I read on the forum where some companies will allow you to make the payments first and then pay a lump sum after the 6 monthly payments are made. I can do that, but I can't come up with $4000 by March 26th. I can also make the delinquent Feb payment (with late fees) and schedule all payments to me taken out of my checking account, for the rest of the year. I am also gonna do some research as to what other options mortgage companies offer and see if I can get mine to agree to any of those plans. Last time I spoke to them, they seemed pretty adamant about the option they would offer, but maybe if they see I am seriously trying to come up with an option, they will bend a little.
The lender has already declared foreclosure before this agreement was made, they had set a sale date and everything. I am afraid if I delay, a new date will be set. I love my house and plan on keeping it and that's why I asked about bankruptcy. How hard is it to file Chapter 13 (is that something I need an attorney for, or can I file the papers myself) and also, approximately how long does it take? Will the foreclosure stop as soon as the papers are filed?
hi michelle,
i appreciate your positive attitude towards paying off the debts. :)
i understand why the servicer does not want to continue the plan. thanks for sharing the total scenario...it gets easier to discuss things if you can share in detail.
just as you said, i too feel you should try once more and talk to the servicer...give them the options like paying the missed payment etc and see if they agree. then if they don't, you can file chapter 13 but again, it's not that hard but neither too easy.
first of all, one has to go through credit counseling within 6 months before filing bankruptcy. it is mandatory for anyone filing chapter 7 or chapter 13. only after the counseling is complete, you can go through the means test which determines which chapter he should file at the court. as soon as the papers are filed and approved, the foreclosure is stopped.
you need to contact the local bankruptcy court and find a credit counseling agency near you. please don't file papers yourself as these are legal matters and hence you need an expert attorney to handle this.
to know more on how chapter 13 works , please refer to the information available on this topic.
regards,
jessica.
i appreciate your positive attitude towards paying off the debts. :)
i understand why the servicer does not want to continue the plan. thanks for sharing the total scenario...it gets easier to discuss things if you can share in detail.
just as you said, i too feel you should try once more and talk to the servicer...give them the options like paying the missed payment etc and see if they agree. then if they don't, you can file chapter 13 but again, it's not that hard but neither too easy.
first of all, one has to go through credit counseling within 6 months before filing bankruptcy. it is mandatory for anyone filing chapter 7 or chapter 13. only after the counseling is complete, you can go through the means test which determines which chapter he should file at the court. as soon as the papers are filed and approved, the foreclosure is stopped.
you need to contact the local bankruptcy court and find a credit counseling agency near you. please don't file papers yourself as these are legal matters and hence you need an expert attorney to handle this.
to know more on how chapter 13 works , please refer to the information available on this topic.
regards,
jessica.
Thanks for the info Jessica. I would much rather pay my mortgage then file bankruptcy, however they are making it very difficult. This company has a history of doing this same thing (google complaints using the company name and you will see what I mean). I am still trying to gather the $4000 needed, but yesterday a tree fell on my house (it didn't cause much damage), but I had to pay $1000 out of pocket until my insurance company can check it out and reimburse me.
I have an appointment with a bankruptcy counselor in a couple of weeks and I am sure they will explain everything. The paralegal I spoke to, said there are other options other then bankruptcy and they will discuss them during my counseltation. Like I said, bankruptcy is a very last resort.
Thanks again for the advice.
I have an appointment with a bankruptcy counselor in a couple of weeks and I am sure they will explain everything. The paralegal I spoke to, said there are other options other then bankruptcy and they will discuss them during my counseltation. Like I said, bankruptcy is a very last resort.
Thanks again for the advice.
Well, the way I understand, chapter 13 isn't that bad for a borrower. However, if you are comfortable with paying off the $4000 and then making payments for 6 months or so, I believe you should go for it and avoid Chapter 13.
Best wishes to you and hopefully the counseling turns out to fruitful enough. Do keep us updated. :)
Regards,
Jessica.
Best wishes to you and hopefully the counseling turns out to fruitful enough. Do keep us updated. :)
Regards,
Jessica.
When it rains, it pours!
On Tuesday March 18, 2007 at 1130am, a tree fell on my house during a wind storm! Thankfully, the only damage was a dinner plate size hole through the roof and into the ceiling of one of our bedrooms. It also damaged a ceiling fan and the a/c vent. I paid $1,000 to get the tree cut off my roof and removed from my property. The insurance adjuster came by and checked it out. He called me back and told me that they would be sending a check to the mortgage company for $4,600+. I contacted the mortgage department and asked if the check would be sent to me, to repair my home (and I was going to use anything left to put ANOTHER "good faith" deposit on my loan modification. Well, I was told that I couldn't get the insurance check because I am in foreclosure and don't have a loan modification plan signed. I was told that once the plan is signed, I could get the insurance check. When I asked what happends to the check if my house is foreclosed on and what happens to the mondy I paid out of pocket for the tree removal, I was transferred to the Claims Dept. The woman there, Susan, was extremely helpful. She gave me the number to the foreclosure dept (she said I was probably talking to loan modification all those other times) and she told me to ask them to do an "endorse and release" of my insurance check. She said if the foreclosure dept agrees to do that, I can use the $4,000 for the modification and the other $600 (plus my own money) to fix my house. She told me that it's up to the mortgage company if the check is released to me (the person in loan modification dept told me it was up to the claims dept). She may have just been another "pass the buck" person, but she really seemed like she wanted to help. When I called the number she gave me, the office had already closed, but I will call early Friday morn! I will keep yall posted as to what's going on.
On Tuesday March 18, 2007 at 1130am, a tree fell on my house during a wind storm! Thankfully, the only damage was a dinner plate size hole through the roof and into the ceiling of one of our bedrooms. It also damaged a ceiling fan and the a/c vent. I paid $1,000 to get the tree cut off my roof and removed from my property. The insurance adjuster came by and checked it out. He called me back and told me that they would be sending a check to the mortgage company for $4,600+. I contacted the mortgage department and asked if the check would be sent to me, to repair my home (and I was going to use anything left to put ANOTHER "good faith" deposit on my loan modification. Well, I was told that I couldn't get the insurance check because I am in foreclosure and don't have a loan modification plan signed. I was told that once the plan is signed, I could get the insurance check. When I asked what happends to the check if my house is foreclosed on and what happens to the mondy I paid out of pocket for the tree removal, I was transferred to the Claims Dept. The woman there, Susan, was extremely helpful. She gave me the number to the foreclosure dept (she said I was probably talking to loan modification all those other times) and she told me to ask them to do an "endorse and release" of my insurance check. She said if the foreclosure dept agrees to do that, I can use the $4,000 for the modification and the other $600 (plus my own money) to fix my house. She told me that it's up to the mortgage company if the check is released to me (the person in loan modification dept told me it was up to the claims dept). She may have just been another "pass the buck" person, but she really seemed like she wanted to help. When I called the number she gave me, the office had already closed, but I will call early Friday morn! I will keep yall posted as to what's going on.
Yes that's true Michelle. When things go wrong they seem to go wrong at a stretch but don't you worry and lose your patience. You'd have to be strong enough to handle this situation. Tough times come and to bring in the silver lining fast, you'd have to fight back. I know it's easier said than done.
Well, I thought you would get the check because you are the policy holder isn't it? But because there has been a foreclosure declared, and the company wants to get it's money back, that's the reason they are asking you to first sign the loan modification plan and then you'll get the check. So, I suggest you call up the foreclosure department asap and keep us posted so that we can come up with further suggestions.
Good luck
Well, I thought you would get the check because you are the policy holder isn't it? But because there has been a foreclosure declared, and the company wants to get it's money back, that's the reason they are asking you to first sign the loan modification plan and then you'll get the check. So, I suggest you call up the foreclosure department asap and keep us posted so that we can come up with further suggestions.
Good luck
Yall are not gonna believe this. On Easter Sunday, I got into a car accident. Someone exited a parking lot in front of me and i couldn't avoid hitting their car! No one was seriously hurt, but it's amazing. I never had this much bad luck at one tme before in my life!!! Luckly the car I was driving wasn't mine and the insurance company is gonna pay for all repairs (they had full coverage). My injuries were not severe (no blood shed), but it's still amazing that all this is happening in such a short time frame.
As for the insurance check update, I called the foreclosure dept and got transferred AGAIN to the loss claims dept. The guy I talked to there, told me that a note was made to the default dept (the only dept that can release the insurance check to me) on my account on March 25th. He asked me to call back on Friday and by then, the default dept would have a decision as to what to do with the insurance check. I will keep yall posted on what new (bad) thing happens to me and what the outcome of the insurance issue is.
As for the insurance check update, I called the foreclosure dept and got transferred AGAIN to the loss claims dept. The guy I talked to there, told me that a note was made to the default dept (the only dept that can release the insurance check to me) on my account on March 25th. He asked me to call back on Friday and by then, the default dept would have a decision as to what to do with the insurance check. I will keep yall posted on what new (bad) thing happens to me and what the outcome of the insurance issue is.
Another update: Today while in a meeting, I got a call from American Servicing Center. I called them back when I got out of the meeting and this is what "Clay" at their main line told me... He said there is no way that the company would release the insurance check to me, until I am current or a loan modification has been accepted. He further stated that the $4000 (and 6 monthly payments of $1000) that I was quoted, was not a guaranteed thing. He said even after paying that, I may not be approved for a modification. He also said that the $1000 that I paid to have the tree removed from my roof was "just a household expense" and that it would NOT be returned to me if the foreclosure goes through and the insurance check would be kept by the mortgage company and they would do the repairs. I have different phone numbers for ASC and i will never call their main number again. I have spoken to several different people on that line and they all say different things!!!
Well Michelle, it seems they will no do anything for you. I may sound discouraging but that's what they're doing. If you pay $4000 and still don't get approved, it means they don't think you are suitable for a loan modification but they're simply taking money from you, that's it. And, about this insurance check, well, I thought they would give it to you. Are they saying they would do the repairs only if you qualify for the loan modification? or they'd just repair the house and sell it off through foreclosure? sounds fishy indeed..so what are your plans now, are you thinking of taking a risk by paying the $4000?
I called today to find out if the default department had made any decisions and I was told that according to my account, the info was just sent yesterday, Thursday (I was previously told I would have an answer by Thurs or Fri). Anyway, I informed Terry that the Sheriff's Dept had brought over the seizure paperwork and had given me a sale date of May 14, 2008. She said until they decided there wasn't anything else they (ASC) could do, the sale date would be pushed back. She told me to relax and just wait until next Friday and give them a call back. When I asked what were we waiting for the default department for, she said they were gonna review my file and see if the "investors" are willing to do a loan modification. I asked her what the terms would be, and she said the email info she had on my account, didn't say what the terms would be. I hung up the phone with her, feeling a little better, but also remembering all the hoops they made me jump through, only to have to jump through more. I have an appointment with a bankruptcy attorney on Monday and I am going to see if I qualify for Chapter 13. I am tired of trying to deal with ASC. My mom told me to make sure I tell the attorney all the problems I have had with ASC, just so he can look into their practices.
Can anyone tell me, if I qualify for Chapter 13, does my mortgage company automatically have to agree to the terms or can they still make my life a living hell? It kills me to file bankruptcy, but the thought of losing my house kills me more. Other then my mortgage and student loans, I am about $8,000 in debt. It's a hole I could conceivably get out of, but not without cooperation form ASC.
Can anyone tell me, if I qualify for Chapter 13, does my mortgage company automatically have to agree to the terms or can they still make my life a living hell? It kills me to file bankruptcy, but the thought of losing my house kills me more. Other then my mortgage and student loans, I am about $8,000 in debt. It's a hole I could conceivably get out of, but not without cooperation form ASC.
Hi Michelle,
I've been reading through your situation and to me filing Chapter 13 seems a sensible decision. However, you'll have to qualify before filing. As I understand from your post the Sheriff's sale won't be in effect until and unless the mortgage company takes a decision regarding the loan modification. But instead of waiting for another 7 days, you've taken the right decision to meet the bankruptcy attorney early next week.
If you can file chapter 13, the lender and a court-appointed trustee will review the repayment plan you submit and if the lender has any objections to it, he'll be given a chance by the court to speak up .
To know whether Chapter 13 is the right option for you , please refer to the information provided by this community.
Hope this helps...
God bless you.
I've been reading through your situation and to me filing Chapter 13 seems a sensible decision. However, you'll have to qualify before filing. As I understand from your post the Sheriff's sale won't be in effect until and unless the mortgage company takes a decision regarding the loan modification. But instead of waiting for another 7 days, you've taken the right decision to meet the bankruptcy attorney early next week.
If you can file chapter 13, the lender and a court-appointed trustee will review the repayment plan you submit and if the lender has any objections to it, he'll be given a chance by the court to speak up .
To know whether Chapter 13 is the right option for you , please refer to the information provided by this community.
Hope this helps...
God bless you.
I spoke to a bankruptcy attorney today and he said Chapter 13 would be perfect for me. We went over my finances and he said with me paying a lil less then $1,000 a month, I can clear up 99% of my debts. After catching up with my mortgage, my #1 goal is to get away from ASC! Thanks to everyone for the advice.
Hi Michelle,
It's good to know that you have been able to find out a way and get rid of the debt. I too felt Chapter 13 can be an option for you. And if you can clear 99% of your debts using this option, then that's too good.
Just see whatever the attorney explains is logical and I hope he's not overcharging you. :)
Regards,
Jessica.
It's good to know that you have been able to find out a way and get rid of the debt. I too felt Chapter 13 can be an option for you. And if you can clear 99% of your debts using this option, then that's too good.
Just see whatever the attorney explains is logical and I hope he's not overcharging you. :)
Regards,
Jessica.