You HAVE to read this! You'll smile; I did!

**NikoSan999** · 06-23-2011, 07:24 PM

Originally Posted by frugalfriend

Niko, you can imagine how my heart sunk when my best friend told me a few days ago that she was four months behind on her Bank of America mortgage!

She is waiting for them to do a loan modification with the Making Home Affordable Program. Do you think it's anywhere in the realm of possibilities? Or like DR says, if their mouth is moving they're lying.

Ah..FF..I agree with Paws...if their mouth is moving they're lying. They are still after us...They were busted once a few months ago telling the bankruptcy Trustee we hadn't made payments on the business property for 3 months...our attorney called us and we provided proof we had. Trustee wasn't happy. At all. They said Well, we put that into a different account to hold it..Trustee said but the payment WAS made and you chose NOT to apply it.
Now they're at it again...we've been making the payment since that happened thru the trustee BUT Bank of Hell raised the payment about $150 more dollars and didn't take it thru the Trustee...so according to them we're behind. And will be for 4 more years...so at the end of the payback 5 years it will be $150 x 48 ( give or take ) months. Plus interest. BUT what Bank of Hell dosen't know is that at the end of the 5 years they have to sign a legal document stating that the payment is current and when they say it isn't ..that it's so much behind...our attorney will show the Trustee the orginal at the time payment required and since Bank of Hell didn't notify the Trustee of the raise in payment they're screwed, blued and tatooed.

They also violated the Stay of the bankruptcy by sending a collector after us. Little less than $10,000 and they settled for $4,000...sent us 1099c and we paid the income tax on the $6,000. But they violated the Stay and we didn't do anything cause we were scared. Stupid on our part.
No, I wouldn't hold much hope for the friend. Unless it was orginally Countrywide loan then they may end up in the house forever.

I'm sorry it's happening to them...truly. If I were them I'd start using the time in the house to get my crap together, meaning money for a new start. A consultation with a foreclosure attorney is usually free and might be their best bet if they want to keep the house. Ours in the beginning when we were trying to keep it was $150 a month.
And if it goes into foreclosure the banks are going after their money versus the 1099c...meaning the friends pay the difference between what it sells for and what is owed.

**frugalfriend** · 06-23-2011, 07:35 PM

It's doubly sad because she's also about to go through a divorce and anxiously WAITING for this to go through before proceeding with it. I don't have the heart to tell her that it most likely won't be done in two weeks from now like she thinks.

She does have the money now to bring things current, but I think it may be too late. (??)

Strangely enough, HUD helped her fill out and submit all the paperwork.

**NikoSan999** · 06-23-2011, 07:56 PM

NO! If foreclosure has already started she should NOT catch it up without an attorney. She needs to talk to an attorney. To catch up now will not stop the foreclosure without one...that is probably in the papers...unless she hasn't been served...you said 4 months...
Foreclosure starts 3rd missed payment...served papers in 6months.
She needs a consultation....truly
At this point if she gives them money without representation she could lose all of it.

**frugalfriend** · 06-23-2011, 08:07 PM

I will call and see where things stand and suggest an attorney. As far as I know she has not received a foreclosure notice. Thanks so much for that info., I'm at a loss as to how to help. So hard to help someone who thinks they have it all handled and know what to expect.

**mh3rdwheel** · 06-23-2011, 08:13 PM

Our bank from hell was Chase Bank, we lost our house in Oct. 2005, as soon as I knew there was no hope I put us on a public/private housing list that is based on your income, we moved in just days before the house was sold at auction.

This year we had our income tax withheld because that house was through the govt. As long as my husband files with me we will NEVER get a refund even if we make monthly payments, (their words exactly).

Chase Bank and the Gov't.

**NikoSan999** · 06-23-2011, 08:53 PM

Originally Posted by mh3rdwheel

Our bank from hell was Chase Bank, we lost our house in Oct. 2005, as soon as I knew there was no hope I put us on a public/private housing list that is based on your income, we moved in just days before the house was sold at auction.

This year we had our income tax withheld because that house was through the govt. As long as my husband files with me we will NEVER get a refund even if we make monthly payments, (their words exactly).

Chase Bank and the Gov't.

Have you considered filing separately? Just wondering. I wonder too ( none of my business, not asking, just wondering ) what would have happened if you'd filed bankruptcy...would that have ended it period.

Sometimes, and I admit MOST of the time, when something financial like this hits and the house is definitely going into foreclosure...if it isn't for the best to just file bankruptcy and end it. For good. No bank coming after you...no 1099c and income tax on the difference that can't be afforded...
Our house isn't going to be a problem...it's a clean cut. Thank goodness...Course it's Bank of Hell too...

Know that's not a popular opinion on here and I'm in the minority, but it's mine.