Comments on: Chapter 7 Debtor Did Not Reaffirm Mortgage – Is Her Home Now at Risk?

By: LILI

LILI — Tue, 24 Nov 2009 21:53:30 +0000

I filled for ch 7 and i would like to reaffirm my mortgage but as of next year my mortgage rate may change (i have a arm loan now and it's due to expire)and i don't know how that may impact my payments. I also applied for a loan modification a few months ago but because of my bankruptcy everything has been put on hold. i would like to keep my house but how can i decide that if i don't know what my payments may be.

By: If I Do Not Reaffirm My Mortgage in Chapter 7, Do I Automatically Lose Title to my House?

Thu, 28 May 2009 17:42:52 +0000

[...] and about the consequences of not reaffirming a mortgage loan. I have previously written about the consequences of not reaffirming a mortgage debt. The 2005 BAPCPA changes to the Bankruptcy Code attempts to force debtors to choose between [...]

By: Susan

Susan — Tue, 19 May 2009 18:33:03 +0000

Hi Jonathan,

I discharged a Ch. 7 BK in March, 2008. We stated on our Statement of Intention that we intended to reaffirm the mortgage, and we also stated this at our hearing. I didn't realize that we had to do anything beyond this and assumed it was reaffirmed. Then today I pulled my credit for the first time to see where we are a year later, and the mortgage does not show up. I called the company and they said it was never reaffirmed. The company we stated an intention to reaffirm with has since sold the mortgage so we are paying a different company. We have never been late, and I would like to show that we have been paying this $1750 every month since the BK on time, as this will help increase our credit score and make it more likely to get approval for the car loan we are currently seeking. My questions are:

can we reaffirm now, a year after discharge?
Would I just do this with the lender or do I have to re-open the bankruptcy somehow?
Would I reaffirm with the current lender or the original one?

I did my own bankruptcy and all went well --- except apparently this! I appreciate any comments you can make.

Thanks,

Susan

By: Pam

Pam — Tue, 06 Jan 2009 05:05:57 +0000

Hi I thought I was off the mortage when I went through my divorce he was rewarded the house. And now I have allready finish my bankrupty I have done a chapter 7 am I still responable.

By: Jonathan

Jonathan — Fri, 19 Dec 2008 19:41:03 +0000

@Wendy, what do you mean "they will never post it as "on time." Are they posting as late? Why wouldn't you get title? That does not make any sense to me. Please send me details directly – this does not smell right.

By: Wendy Arnold

Wendy Arnold — Fri, 19 Dec 2008 18:44:48 +0000

I am going through the exact same thing, I am trying to build my credit, I want to stay in the home but the mortgage company said they will never post it as "on time" with the agencies, they told me they were not even sure I could get title after 28 years, i need help . I want to keep my house, i have never been late but i also want my credit to start to be repaired. Any suggestions?

By: Pilgrim Girl

Pilgrim Girl — Sun, 23 Nov 2008 20:59:36 +0000

Hi Jonathan: I recently called my mortgage lender to request a reduction in my mortgage interest rate. My bankruptcy was final about 1.5 years ago. My mortgage was not made part of the bankruptcy, it was always my intention to pay it. They said they couldn't help because the mortgage was not reaffirmed. Is this something I should do in order to lower the rates or go elsewhere to try and refinance. That option, however, would have to wait until Sept. 2009 and I would like to get it lowered now. I am current on my mortgage and that is the first bill that gets paid every month. Thank you, kindly.

By: Pola Lewis

Pola Lewis — Thu, 14 Aug 2008 17:24:28 +0000

question My chapter 7 was discharged 6/20/08 we didn't reaffirm on our mortgage. The mortgage company is now raising our mortgage $600. So we are not willing to pay. What are our options? Pola-Michigan

By: jeff-Michigan

jeff-Michigan — Wed, 26 Mar 2008 20:12:57 +0000

This is very similar to my story. We built a new home. Had a high appraisal value, at end of loan, lost all equity. Forcing us into bankruptcy/forclosure on the new house. WE wanted to reaffirm the old house, through error was included in bankruptcy. Now we will lose the new home, and whats up on the old home. On credit the debt is wiped out. Can ? I get some payment history for the payments. Also, I was told that I might call the mortgage company, and see about renegotion of the loan cost/rate/ terms? Do you suggest this? If I stay at the old home without a reaffirm, and in 2 years when my credit starts to recoup, if I walk away will a new hit come on me, when they proceed with foreclosure, or has my current bankruptcy protected me from all this. In 2 years I think there will be many more homes, better than my old house.

By: Katy

Katy — Sun, 01 Apr 2007 23:34:58 +0000

I used to work at a company that lent money for real property purchases, and I can tell you, we were happy as long as the debtor kept paying on the loan. We knew we couldn't force anyone to sign a reaffirmation agreement, so as long as they had checked "will reaffirm" on their Statement of Intention, and were still making regular payments, that was good enough for us.