Posted on: 05th Dec, 2010 08:47 pm
I have been in a trial loan modifaction with chase bank for over 18 months. I have never been late during this trial period. I was told that I didnot qualify for the Obama-Help For Homeowners. But they did find a plan that I was approve for. My trial payments was 1000 a month. My new payment are 1635. My questions is if I couldnt afford 1000 a month why would they jack me up over 600 dallors a month. Do they want me to fail or what? Can I give the house back, or do I need to file bankruptcy?
Welcome skattam,
If you are unable to pay the dues as per the plan, then you can surrender the property to the lender. You can inform the lender about your situation. If he does not agree to lower your payments, then you can apply for a deed in lieu of foreclosure. It is not mandatory for you to file bankruptcy.
If you are unable to pay the dues as per the plan, then you can surrender the property to the lender. You can inform the lender about your situation. If he does not agree to lower your payments, then you can apply for a deed in lieu of foreclosure. It is not mandatory for you to file bankruptcy.
If you have been on a trial modification for 18 months, that isn't a trial modification most likely that is a special forbearance. The trial modification under the HAMP program is only suppose to last 3 months, but some lenders are extending the trial period. It sounds like you cannot afford the home at all and should consider doing a short sale or deed in lieu. Most lenders will want you to try to sell the house on the market first before they try to consider you for a deed in lieu, in which you still have to be approved for. If you do file bankruptcy and you really want to keep the home, but you need time to get back on your feet financially this maybe the better option for you. Research the impacts on all choices you have and inform yourself of what each one means before making a decision. Deed in lieu, short sale, foreclosure and bankruptcy will impact your credit for a long time.