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2nd mortgage charged off

Posted on: 25th Apr, 2009 07:15 pm
hi,
can a charged off 2nd mortgage foreclose my property? i have
a 2nd mortgage with the same lender as the first and i was told
that my 2nd mortgage was charged off. I want to keep the house but i cannot afford to pay my 2nd mortgage.
should i consider bankruptcy ?
Need your advice.
Hi pascuagrace,

Have you paid off your first mortgage? Have you talked with the lender to work out any sort of an alternative plan like a modification?
Posted on: 26th Apr, 2009 10:31 pm
I've been contacted by my lender regarding my loan modification app on the fist mortgage. I've asked them about my 2nd mortgage and was told
that this was charged off. I was trying to get more information from them
but i was told i will be contacted by someone regarding this.
Right now, i dont know exactly what's going on and i'm worried that the 2nd mortgage will foreclosed my property.
any idea if that is a possibility ?
Posted on: 27th Apr, 2009 09:22 am
hi

your lender has charged off your second mortgage which means they have sold the mortgage to a collection agency who will now collect the debt from you. the lender will show this mortgage as their loss for accounting reasons. the chance of a foreclosure by the collection agency for the second mortgage is less because if the house is foreclosed, there will be little money left for the second mortgage after satisfying the first. by the way, is your lender willing to modify the first mortgage?
Posted on: 29th Apr, 2009 03:58 am
hi savior70,
thank you for enlightening me regarding my 2nd mortgage. To answer your question regarding my 1st mortgage, yes , my lender have agreed
to modify since according to them this is thru FANNIE MAE. We will have
5 months trial period - afterwards, they will proceed with modification.
ARe you familiar with this so called "trial period"? Again your comments will be greatly appreciated.
Posted on: 30th Apr, 2009 10:57 am
Hi pascua,

It is good to know that your lender have finally agreed to modify your existing loan.

The trial period is a part of the Home Affordable Modification Plan. During this period, the lender will see if you can meet the obligations of the modification plan and can afford to make the payments on time. After the trial period if the lender is convinced that you have indeed fulfilled the obligations of the plan, they will offer you a Home Affordable Modification Agreement. The following page may give you some more idea about the trial period:
www.freddiemac.com/uniform/doc/3156_HMP_LoanWorkoutPlan.doc
Posted on: 01st May, 2009 12:29 am
Since your second loan is charged off the collection agencies may come after you. But they cannot foreclose.
Posted on: 01st May, 2009 04:02 pm
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