Jump to content

kelcscredit

Members
  • Content Count

    48
  • Joined

  • Last visited

Recent Profile Visitors

60 profile views
  1. Hello all! Sorry for being late back to the game. Krielly66 is correct. There isn't a deficiency balance. The house actually sells today. Part of me is sad and the other part is soooo ready to move forward.
  2. Thanks to both of you for your replies. I figured it may be three years, but wasn't sure. It's just been a nightmare getting them to actually sell the property. VAloanMaster, our mortgage was included in bankruptcy... I believe. In 11/2009 we qualified for a loan modification, but when we filed the BK13 in 8/2010 the mortgage was not reaffirmed. My husband lost his job again in 1/2011 and we were no longer able to make the payments. Our attorney contact the lender to let them know that we were moving out and turning off the utilities. (I didn't turn off the utilities, though, because I was trying to be decent.) We moved out and heard nothing. As a matter of fact, BofA sold the loan to Green Tree during that time. After two years, we moved back and waited. So, to answer your question, I'm not sure. Our mortgage shows as IIB on our credit report with a $0 balance and $0 payment. No mention of the foreclosure judgement. It was a rough 7 years with three job losses, sometimes with a 30% cut in pay. It was impossible to catch up on the large mortgage payments and our BK13 payments. Plus, the house was underwater by about $90k. The job situation has been stable for 3 years now and we are in a much better situation. I would love to put all of this behind me and move forward. I am incredibily frustrated that it took the bank so long to go to the sale.
  3. My husband and I are 11 months post-discharge from a BK13 that lasted 5 1/2 years. A foreclosure judgment was filed on our home in August 2013 and it is JUST NOW being sold at auction. Since last year, we have worked diligently on our credit. We have two car loans and recently obtained two credit cards each. I PIF the CCs and have made monthly principal debt modification payments on one car. A foreclosure judgement has never been listed on our CRs and the mortgage shows a zero balance. Our annual income is $160k, we have $18k in savings and $220k in retirement assets. Our current DTI is around 6%. We would really like to buy a house, but have no idea if it's even possible with pending sheriff's Sale. Do we have a glimmer of hope?
  4. Hello all! I'm hoping someone can help give me a little hope or at least provide some clarification. Like many people, my husband and I went through significant financial ups and downs beginning January 2009. He works in the commercial construction industry and lost his position 3 times over the course of 5 years. Each time he eventually regained employment, but took a cut in pay (up to 25%-30%). In November 2009, we signed a loan modification with BofA and agreed to an increased payment. Stupid on our part because we were already upside down on the house. My husband was just struggling so much emotionally and he felt like if we could keep the house we should. By October 2010 we filed a BK13 because we could tell that his company was getting ready to close divisions and we wanted to protect our secured assets. (The house was included in the BK13). In January 2011, he was unemployed for a longer period of time (5 months) and we defaulted on our mortgage payments. We tried for another loan modification with a principal reduction without success. In June 2012, our attorney contacted their attorney and said we were vacating the property. We moved out for 18 months and then moved back because it sat empty and we felt a responsibility to our neighborhood to maintain the property and keep the utilities turned on. (We lived within an HOA, but lawn/snow maintenance was not provided. The bank never proceeded with the Sheriff's Sale -- as a matter of fact BofA sold the loan to Green tree during that period of time. We received a foreclosure judgment in August of 2013, but we decided to move back to our home in November 2013 and pursued a loan modification for the last time, (this stalled the foreclosure) but my husband lost his job again in January 2014 and became reemployed in late-April 2014. On this date, we were approaching the end of our 5 1/2 year BK plan and decided to discontinue pursuing a loan modification and asked the bank (begged them) to move forward with the foreclosure. Nothing happened. Our BK13 was discharged in March 2016. We have since acquired two car loans and three credit card lines. I pay extra on the car loan with the higher interest rate and pay the CCs in full each month. Our DTI is about 5% and In February 2017 we will have reached the one year discharge date. Sorry for the long story, but I wanted to give some background on our situation. My question is this. Can we qualify for an FHA loan, now? I'm not sure when the clock starts ticking on the foreclosure? Is it the date of judgment or the date of sale? Also, given the convoluted circumstances of our situation, is it possible to qualify with manual underwriting? I've maintained my job for 9 years and my husband's position is the most secure it's ever been and we feel like we've turned the corner. He actually was offered employee-ownership two years ago, so that's a good sign. The sale is scheduled this month and I'm terrified of our future. We've worked so hard post-BK to rebuild our credit and our FICO scores are in the high 680+, currently. We have a little money in the bank, but I also don't want to deplete our cash reserves. Bottom line is that we would prefer buying a house, if possible. Rentals are slim pickings this time of year and I'm concerned landlords may think we are too risky, because of the BK and foreclosure. Plus, I have a 90+lb dog that is often a deterrent for landlords. Ugh. Any thoughts or guidance would be appreciated. (Also, the foreclosure judgment from 2013 has never appeared on our credit reports. I'm curious as to why. Is it possible we may have dodged a bullet?) Thanks for any help you can give!
  5. Thanks for the response, liverichly. Since you're in the business, your answer helped me when I spoke to our attorney today. It's been a long, difficult process coming to a decision. But after much negotiation and a call to the Trustee, my attorney was assured they would accept our plan payment and let us keep our home. It's going to be tight, but I'm relieved that we will be able to keep our home -- high mortgage payment and all. So, what's the possibility of getting our high payment refinanced? I can only assume that it'll be awhile, since we're upside down on our loan value, but it never hurts to ask.
  6. First a very condensed version of our dilemma ...My husband and I were both alternately unemployed during 2008 and 2009. During this time the wheels fell off our proverbial finanical bus. Since then we both have new jobs and are considered high income earners; however, we are overwhelmed with debt that has defaulted, plus we have a very high mortgage payment. At this point our only option is to file a Chapter 13 and are considering letting the home go. It's now upside down in value by about $75K, plus we have a mentally ill adult daughter who requires our financial intervention from time-to-time. The repayment plan for our 13 will leave very little left over for anything as our attorney has told us that the Trustee wants the majority of the unsecured debt (around $60K) paid if he approves a plan with a high mortgage payment ($3100). So in short, is it possible to enter into a Chapter 13 and buy a home during the 5-year plan? Our will we have to wait until 2 years after discharge? Your answers are most appreciated, as we have a few days before our signing appointment and have some very, very difficult decisions to make.
  7. Thank for your replies, Beli and TXLady. Your feedback is helpful. Objectivity is very helfpful right now. I think it also helped to read my own posting. My head starts to spin when I think of all the "what-ifs." Seeing my own explanation helped me see our situation a little more clearly. As for our options, my husband and have decided (for tonight, anyway) that we will go ahead and file a BK13. I still don't understand why our attorney is concerned that the judge will force us out of our home to pay unsecured debt. We are current on our 1st mortgage and the 2nd mortgage qualifies for a "cramdown" since the house is worth less than 1st mortgage, let alone the second. Surely judges aren't going to add to this foreclosure mess by forcing families out of their homes when their current ...right? Has anyone ever experienced this? We're just hopeful that if we have to take this route that we won't be forced to give up our home, too. This whole thing is embarrassing and shaming, plus we're trying to provide as much stability as possible to our son. It would be nice if he could stay in our neighborhood close to his friends and school. I'm also scared that no one will rent to us, since our credit is so damaged. *sigh* It's just a lot to bear. I think the unknowns are the worst.
  8. I've posted in the bankruptcy and foreclosure boards, but am seeking all the help I can get ... I've been a member of CB for a number of years and worked very hard to clean up our credit and buy a house -- which we did in 2006. We had a perfectly clean report with a high score of 685! But it didn't last long. A number of things sent our income spiraling in 2008 and 2009 and between my husband and I, we lost about $60,000 in regular income due to my company going out of business and his company eliminating his position and department. We are fortunate though, because we both are now employed and making about the same amount of money as we were before. Foreclosure proceedings had started on our home and we were finally able to secure a loan modification through BofA. This was a nightmare to get done, but I took whatever we could get. It was a forebearance, which helped us catch up on our payments, but it also increased our payment by about $200/month and the mortgage is $312K and the value has dropped to $250K. We also have a second mortgage through Citi of $64,000. It was charged off in October 2009 and is reporting as a Profit and Loss Write Off. We've talked to our attorney about filing for BK13 (our only option), but he is concerned that the Judge will make us leave our home because our mortgage payments are about $3200/month. In addition, our outstanding credit card debt was initially $29,000 and now it's ballooned to $79,000 because of late fees, over limit fees, etc. Here's the crux of our dilemma ...My husband and I have a good income. Right now, we are making our mortgage payment (not on the 2nd mortgage, just the 1st), making our car payments and paying for our basic necessities. We have no savings or retirement funds to access. All but two of our credit cards have been charged off. They are current/never late and I use them occassionally and pay the charged balance in full. We are one paycheck away from being late on our mortgage and we still have a teenager at home who requires braces and other medical care and hopefully, some kind of future education. We don't like the idea of filing BK, because our attorney has said that our income is high enough that we may be required to pay back all of our unsecured debt IF the judge forces us out of our home. Please don't misunderstand, I don't mind paying back what we owe, but it's very disconcerting to pay back a bunch of predatory charges and interest and be forced out of our home to do so. If we are forced to foreclose, then we will then be required to pay the 2nd mortgage and the difference between the sale price of our home and the loan amount on our 1st mortgage. Basically, we're looking at paying back $200K to $250K over five years at 9.50% (this goes to the Trustee). We love our home, but have discussed letting it go into foreclosure. This would give us about 12-15 months to save money for a rental (because our credit will be crap and they'll need money up front) and settle our debts. Or, we could just stick it out and hope that our creditors don't start suing us. Most of our accounts were charged off between 3/2009 and 10/2009. Will they sue us? How long does it typically take before they take action? So, in summary, I'm looking for your experience and guidance as to the ramifications of the following decisions: 1. Filing Chapter 13 and risk losing our home, plus no having any control over our money or property for five years. (No additional retirement savings is allowed or saving for your son's college eduction. We are in our mid-40s, now.) 2. Allowing our home to go into foreclosure and settling our outstanding debt, but risking any future opportunity to ever own another home. 3. Keeping the status quo, hoping that creditors are overwhelmed with the current economic crisis and the SOL will work to our benefit. By the way, we live in Kansas, which is a recourse state. Any help or advice would be greatly appreciated. My husband and I are at a total loss as to what's the best decision. We are exhausted, stressed and at our wits end. We keep trying to make the right decision, but honestly I'm not sure what that is anymore. I'm hoping any experiences or observations by the board will help us decide. Thanks!
  9. I've been a member of CB for a number of years and worked very hard to clean up our credit and buy a house -- which we did in 2006. We had a perfectly clean report with a high score of 685! But it didn't last long. A number of things sent our income spiraling in 2008 and 2009 and between my husband and I, we lost about $60,000 in regular income due to my company going out of business and his company eliminating his position and department. We are fortunate though, because we both are now employed and making about the same amount of money as we were before. Foreclosure proceedings had started on our home and we were finally able to secure a loan modification through BofA. This was a nightmare to get done, but I took whatever we could get. It was a forebearance, which helped us catch up on our payments, but it also increased our payment by about $200/month and the mortgage is $312K and the value has dropped to $250K. We also have a second mortgage through Citi of $64,000. It was charged off in October 2009 and is reporting as a Profit and Loss Write Off. We've talked to our attorney about filing for BK13 (our only option), but he is concerned that the Judge will make us leave our home because our mortgage payments are about $3200/month. In addition, our outstanding credit card debt was initially $29,000 and now it's ballooned to $79,000 because of late fees, over limit fees, etc. Here's the crux of our dilemma ...My husband and I have a good income. Right now, we are making our mortgage payment (not on the 2nd mortgage, just the 1st), making our car payments and paying for our basic necessities. We have no savings or retirement funds to access. All but two of our credit cards have been charged off. They are current/never late and I use them occassionally and pay the charged balance in full. We are one paycheck away from being late on our mortgage and we still have a teenager at home who requires braces and other medical care and hopefully, some kind of future education. We don't like the idea of filing BK, because our attorney has said that our income is high enough that we may be required to pay back all of our unsecured debt IF the judge forces us out of our home. Please don't misunderstand, I don't mind paying back what we owe, but it's very disconcerting to pay back a bunch of predatory charges and interest and be forced out of our home to do so. If we are forced to foreclose, then we will then be required to pay the 2nd mortgage and the difference between the sale price of our home and the loan amount on our 1st mortgage. Basically, we're looking at paying back $200K to $250K over five years at 9.50% (this goes to the Trustee). We love our home, but have discussed letting it go into foreclosure. This would give us about 12-15 months to save money for a rental (because our credit will be crap and they'll need money up front) and settle our debts. Or, we could just stick it out and hope that our creditors don't start suing us. Most of our accounts were charged off between 3/2009 and 10/2009. Will they sue us? How long does it typically take before they take action? So, in summary, I'm looking for your experience and guidance as to the ramifications of the following decisions: 1. Filing Chapter 13 and risk losing our home, plus no having any control over our money or property for five years. (No additional retirement savings is allowed or saving for your son's college eduction. We are in our mid-40s, now.) 2. Allowing our home to go into foreclosure and settling our outstanding debt, but risking any future opportunity to ever own another home. 3. Keeping the status quo, hoping that creditors are overwhelmed with the current economic crisis and the SOL will work to our benefit. By the way, we live in Kansas, which is a recourse state. Any help or advice would be greatly appreciated. My husband and I are at a total loss as to what's the best decision. We are exhausted, stressed and at our wits end. We keep trying to make the right decision, but honestly I'm not sure what that is anymore. I'm hoping any experiences or observations by the board will help us decide. Thanks!
  10. I've been a member of CB for a number of years and worked very hard to clean up our credit and buy a house -- which we did in 2006. We had a perfectly clean report with a high score of 685! But it didn't last long. A number of things sent our income spiraling in 2008 and 2009 and between my husband and I, we lost about $60,000 in regular income due to my company going out of business and his company eliminating his position and department. We are fortunate though, because we both are now employed and making about the same amount of money as we were before. Foreclosure proceedings had started on our home and we were finally able to secure a loan modification through BofA. This was a nightmare to get done, but I took whatever we could get. It was a forebearance, which helped us catch up on our payments, but it also increased our payment by about $200/month and the mortgage is $312K and the value has dropped to $250K. We also have a second mortgage through Citi of $64,000. It was charged off in October 2009 and is reporting as a Profit and Loss Write Off. We've talked to our attorney about filing for BK13 (our only option), but he is concerned that the Judge will make us leave our home because our mortgage payments are about $3200/month. In addition, our outstanding credit card debt was initially $29,000 and now it's ballooned to $79,000 because of late fees, over limit fees, etc. Here's the crux of our dilemma ...My husband and I have a good income. Right now, we are making our mortgage payment (not on the 2nd mortgage, just the 1st), making our car payments and paying for our basic necessities. We have no savings or retirement funds to access. All but two of our credit cards have been charged off. They are current/never late and I use them occassionally and pay the charged balance in full. We are one paycheck away from being late on our mortgage and we still have a teenager at home who requires braces and other medical care and hopefully, some kind of future education. We don't like the idea of filing BK, because our attorney has said that our income is high enough that we may be required to pay back all of our unsecured debt IF the judge forces us out of our home. Please don't misunderstand, I don't mind paying back what we owe, but it's very disconcerting to pay back a bunch of predatory charges and interest and be forced out of our home to do so. If we are forced to foreclose, then we will then be required to pay the 2nd mortgage and the difference between the sale price of our home and the loan amount on our 1st mortgage. Basically, we're looking at paying back $200K to $250K over five years at 9.50% (this goes to the Trustee). We love our home, but have discussed letting it go into foreclosure. This would give us about 12-15 months to save money for a rental (because our credit will be crap and they'll need money up front) and settle our debts. Or, we could just stick it out and hope that our creditors don't start suing us. Most of our accounts were charged off between 3/2009 and 10/2009. Will they sue us? How long does it typically take before they take action? So, in summary, I'm looking for your experience and guidance as to the ramifications of the following decisions: 1. Filing Chapter 13 and risk losing our home, plus no having any control over our money or property for five years. (No additional retirement savings is allowed or saving for your son's college eduction. We are in our mid-40s, now.) 2. Allowing our home to go into foreclosure and settling our outstanding debt, but risking any future opportunity to ever own another home. 3. Keeping the status quo, hoping that creditors are overwhelmed with the current economic crisis and the SOL will work to our benefit. By the way, we live in Kansas, which is a recourse state. Any help or advice would be greatly appreciated. My husband and I are at a total loss as to what's the best decision. We are exhausted, stressed and at our wits end. We keep trying to make the right decision, but honestly I'm not sure what that is anymore. I'm hoping any experiences or observations by the board will help us decide. Thanks!
  11. Thanks your input VALoan guy. No, you didn't come across negatively. I really wanted objective feedback as we move forward with this process. Originally, we had planned to buy a house in August of this year, but totally lucked onto a wonderful home that had originally been listed at around $55,000 more than we paid for it. The problem was the original owners were too confident and purchased another home before listing their current residence. Plus, the market started to cool off. For 9 months they carried two mortgages and they kept the asking price too high. Finally, they dropped their price out of sheer desperation (plus they had a pending lawsuit that they were afraid would effect their title -- long story). It was listed for two days when we made our offer. Our appraisal, which was conservative, was still $33,000 more than we paid for it. It's one of those once-in-a-lifetime opportunities that we were able to latch onto. Which leads me to my second point. We almost doubled our current house payment and it has stretched us pretty far. With a cash-out second mortgage we are paying off some debt (a car loan & two credit cards) which will bring us to 0% utilization. Our credit/debt ratio will then be 35%. My husband recently received a promotion, which has helped some, but we need to lower our monthly debt, now. His wages will increase over the next five years, so my hope is with the increased equity in our home, plus any money that we can save, that we can payoff the 2nd mortgage early or refi 100% of our home and have enough money down that we can ditch the PMI. Our income was used to qualify us for the first and will also be used to qualify us for our second mortgage. I don't plan on making any career changes until we manage our monthly debt and get those year-end bonuses. The refi will help us reach this goal and take a lot of pressure off our backs in the short term. And to answer your last question, we are on a fixed rate with both the first and second mortage -- 7.25% and 12.62%. Thanks again. Everyone's objective advice has been really helpful and education for me. There are so many different options available to homeowners! I'm so glad times have changed since my parents bought their house -- 80% conforming loan with 20% down was about the only option.
  12. Now that makes perfect sense! I will address this option with our broker and see if this is something that he already pursued. It could be that he was concerned about the variable rate, or we didn't qualify ...or it could be that he wants to receive a higher fee. I'm not quite sure. I'll keep you posted on what I find out. Thanks again!
  13. I didn't realize that and will definitely add this to my laundry list of questions. We are locked into our first mortage for one year, so a refi/cash out on the first mortgage isn't an option for us. Also, I was hoping to payoff the second mortgage in a year or two. My husband has been promoted and is scheduled to receive nice year end bonuses, plus I've been offered a new job ...in the mortgage loan business!! Our broker has offered to train me! I'm hoping over the next couple of years, my income will be larger than my current salary and this, too, will be helpful in paying off that second mortgage -- which doesn't include prepayment penalties. Since you've been kind enough to offer your advice, is there a better option that I'm overlooking?
  14. Thanks for the reply NOLAsailing. I guess I pushed the panic button too quickly. I went ahead and followed up with our broker with about the same question I posted. I was going to wait until this evening. Anyway, come to find out, he was joking. That whole underpromise/overdeliver philosophy. As I said in my post, we've worked together for awhile and he knew how important Step 2 was of our 3-step plan. Here's the actual terms: Loan: $42,000 Term: 30-year fixed Interest: 12.64% Payment:$452.82 I'm usually pretty on top of my game. So I think he was just seeing if I was sleeping or not. Oh yeah, our midscore is 641. The interest rate on our first loan is 7.25%, 100% financing and our mid-score (at the time) was 624. We are paying a fortune for PMI, though. That's why we have a 3-step plan, because next year, our FICOs should be in the high 700s and we can refi and get rid of the PMI. If we're lucky a lower interest rate on both loans!
  15. My husband and I were fortunate enough to purchase a home that already has $42000 in equity. We are working with a mortgage broker that we have developed a good relationship with for almost two years. We purchased the home in January 06 with the intention of getting an equity loan within 3-6 months. We've struggled with our credit scores over the last few years because of medical bills and unemployment, but we've been on a solid road to recovery since 2002. Our plan was to use the equity to pay off debt and lower our monthly expenses. Once our utilization is down to 0%, our scores will increase significantly and then we can refinance both home loans at lower interest rates in about 12 months. Our broker found an underwriter that was willing to do a 2nd mortgage at these terms: Loan: $42,000 Interest: 13.41% Term: 30 Year fixed Payment: $699 Here's my question. I did a mortgage amortization on Bankrate.com and it shows that my payments should be $478.10 based on these terms. When I ran an amortization at $699 per month, the interest rate is 19.92%. I'm beginning to see red flags. Can anyone shed some light on what I'm NOT being told? Thanks! I really need your help, because we are supposed to sign the loan documents tonight!

About Us

Since 2003, creditboards.com has helped thousands of people repair their credit, force abusive collection agents to follow the law, ensure proper reporting by credit reporting agencies, and provided financial education to help avoid the pitfalls that can lead to negative tradelines.
×
×
  • Create New...

Important Information

Guidelines