Posted on: 23rd Nov, 2009 07:56 am
Hi,
We discharged chpt. 13 bankruptcy in May of 2009, tried to keep our home as my husband was awaiting a liver transplant all last year and we physically could not undergo a major move. Now, we are paying our monthly trustee payments and our mortgage, but in March 2010, our ARM will nearly triple our mortgage payments and we will not be able to pay them. We were denied chpt. 7 before because we were just over the means test, our lawyer says we can convert our 13 to a 7. We want to try to stay in our home and are looking at refinancing our loan but how can we talk to our lenders if they will not communicate with us due to the bankrutptcy. We also have a family member willing to loan us money to payoff the bankruptcy if we are allowed. Can you advise us please on bankruptcy buyout and refinancing a chpt 13 when it is only a year old. Thank kyou.
We discharged chpt. 13 bankruptcy in May of 2009, tried to keep our home as my husband was awaiting a liver transplant all last year and we physically could not undergo a major move. Now, we are paying our monthly trustee payments and our mortgage, but in March 2010, our ARM will nearly triple our mortgage payments and we will not be able to pay them. We were denied chpt. 7 before because we were just over the means test, our lawyer says we can convert our 13 to a 7. We want to try to stay in our home and are looking at refinancing our loan but how can we talk to our lenders if they will not communicate with us due to the bankrutptcy. We also have a family member willing to loan us money to payoff the bankruptcy if we are allowed. Can you advise us please on bankruptcy buyout and refinancing a chpt 13 when it is only a year old. Thank kyou.
hi kathie!
welcome to forums!
i would suggest you to speak to your bankruptcy trustee and your lender and check out if they would refinance the mortgage. it would be the lender's discretion whether or not they would refinance it.
sussane
welcome to forums!
i would suggest you to speak to your bankruptcy trustee and your lender and check out if they would refinance the mortgage. it would be the lender's discretion whether or not they would refinance it.
sussane
>>We discharged chpt. 13 bankruptcy in May of 2009
Do you you filed in May? The chapter 13 wouldn't be open right now if it were discharged in May.
>>and are looking at refinancing our loan but how can we talk to our lenders if they will not communicate with us due to the bankrutptcy.
Most Loan Officers don't know with FHA or VA programs you can refinance your home, and keep the bankruptcy open, after you've been in the chapter 13 for 12 months (since the date of filing), and you haven't had any lates on anything during that timeframe. Keep all your payments current and start the refinance during your 10th month of the chapter 13 (because you're going to have to get the Trustee's permission, and that'll take some time). You're also going to need a FICO score that's at least 620 (that's today - the FICO requirement may be higher next May).
Do you you filed in May? The chapter 13 wouldn't be open right now if it were discharged in May.
>>and are looking at refinancing our loan but how can we talk to our lenders if they will not communicate with us due to the bankrutptcy.
Most Loan Officers don't know with FHA or VA programs you can refinance your home, and keep the bankruptcy open, after you've been in the chapter 13 for 12 months (since the date of filing), and you haven't had any lates on anything during that timeframe. Keep all your payments current and start the refinance during your 10th month of the chapter 13 (because you're going to have to get the Trustee's permission, and that'll take some time). You're also going to need a FICO score that's at least 620 (that's today - the FICO requirement may be higher next May).
