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Trying to Settle with Chase on Second After Foreclosure

Posted on: 25th Dec, 2010 10:33 pm
I live in CA. due to my medical bills when my wife got sick, we got behind on payments and credit card debt went up. Eventually, we lost our house in 2008 which took care of the first. I had a 150k 2nd with Chase which is a recourse loan. I REALLY need some advice on how to get out from under the 2nd. Some time after the foreclosure Chase contacted me and I explained the situation. The rep said at that time they would settle for 35K but it might as well have been 350k because we didn't have that either. We were trying to find a place to live and get back to as normal a life as we could.

Chase said if I started making monthly $250 payments, they would not take me to court and end up with a judgement or garnishment of my wages so I started making the payments. After 1 year of making payments they are now saying they want 50K to settle. I now realize that they have me by the short hairs. I don't understand it all but they obviously feel they have a better hold on me since the settlement amount went up.

I'm still making the payments but I REALLY need to settle for a amount I can afford. I fear the settlement amount will never go down and I'm afraid they will take me to court more so now that I've demonstrated an ability to pay 'something'.

What should I do? I'm just at the point where I can start saving money towards the settlement but there's just no way I can pay 50K and get my family out of my parent's house where we have been living for the past 2 years since the foreclosure. We want to get another home (this time one we can afford) but saving 50k to get away from chase so that they can't come after me means being stuck where we are for years...

Should I get a lawyer to negotiate with Chase? Are there ANY options I have to settle for an amount I can realistically pay? Any advice is appreciated.
I should add that I have been dealing with:

Bureau of Recovery LLC
1813 E. Dyer Road
Suite 411
Santa Ana, CA 92705

So this debt has gone to collections but Chase still owns the debt, from what I've been able to gleen.
Posted on: 26th Dec, 2010 05:22 pm
Hi timclifton,

You'll have to patiently negotiate with your lender in order to get rid of the dues and settle the account. You should inform the lender about the amount that you'll be able to pay them in order to settle the dues. Try to convince the lender so that he accepts that amount and settles it. You should try to negotiate with your lender on your own. If he does not agree, then you can take the help of an attorney in this regard.
Posted on: 26th Dec, 2010 10:22 pm
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