The homeowner, with the help of a qualified bankruptcy attorney, can encapsulate and protect as much of his assets as possible while eliminating the uncertainty created by a failed foreclosure system. Homeowners are often emerging from Bankruptcy Court with the meaningful mortgage modifications that elude them in Florida’s state courts. Floridians shouldn’t have to seek refuge from our state courts, but be grateful there is an alternative, especially if you live in the Middle District of Florida.
Source: bankruptcylawnetwork.com
Video: Get a Mortgage After Short Sale, Foreclosure, Bankruptcy, or Bad Credit
How To Get A Mortgage Post
“Consumers seeking a mortgage loan after filing for a Chapter 7 or 13 bankruptcy should ensure all bills are current and payments are made on time, as this will help to reestablish strong new credit,” said Susan Fitzpatrick, director of communications at GMAC Mortgage in Fort Washington, Pa., in an email. “Additionally, borrowers should keep all supporting documents related to their bankruptcy and have documentation on hand to support any extenuating circumstances of their bankruptcy.”
Source: businessinsider.com
Wells Fargo sued by Justice Department for fraudulent mortgage practices
Earlier this week, the Justice Department filed a civil lawsuit against Wells Fargo seeking hundreds of millions of dollars in damages. The suit accuses the banking giant — and largest originator of home loans in the U.S. — of issuing mortgages to thousands of unqualified candidates over the last ten years and purposely submitting false certifications regarding the conditions of these mortgages to the Federal Housing Administration.
Source: sanantoniobankruptcylawblog.com
5 tips for getting a loan modification during bankruptcy
2. Document all your calls and letters. One of the biggest complaints I have from my bankruptcy clients during the loan modification process is that the mortgage lender loses their information during the process. This is why it is so important to maintain and document all your calls and letters. Write down the specific date and time of who you spoke with. Any letters or packages you send should be documented. Update your file each week and make regular calls to your mortgage lender to check on the status. In my experience, the people who have the worst chance of success with their loan modification are the ones who do not continuously call the lender and check on the status.
Source: danielstonelaw.com
Will Chapter 7 Bankruptcy Dismiss Second Mortgage?
In essence, in the situation you describe, after bankruptcy you would have ended up personally owing the amount to the bank for the first loan and not personally obligated on the second loan. But the two lenders would, or might, still have their lien rights to foreclose on the home due to your failure to pay the amounts owed to these lenders. Unless the bankruptcy court not only discharged the debt, but also eliminated the lien the second lender had on your home, you might still lose the home in foreclosure.
Source: thinkglink.com
Indiana Mortgages and Indiana Bankruptcy
(That is exactly the case. Just last Monday, I ran into a former client who told me she filed just one year ago and recently has been given a new mortgage!) With Zuckerberg bankruptcy law offices spread throughout central and southern Indiana, we lawyers for bankruptcy field an awful lot of questions about home mortgages, and how we can help stop foreclosure. Many of those questions boil down to which is ”better” – foreclosure or bankruptcy? (Obviously, neither is something to which any client would aspire, but people want to know which is the lesser “evil”, I suppose.) There are several important reminders to offer:
Source: zucklaw.com
Sheila Bair: 5 questions for the candidates on finance reform
WILL YOU END SPECULATION IN THE CREDIT DERIVATIVES MARKETS? Many people rightfully point to bad mortgage lending as a key driver of the crisis. Yet, hundreds of billions of mortgage losses by themselves would not have caused the crisis. The problem was the trillions of dollars of additional losses that were incurred world-wide by financial institutions who had made wrong-way bets on the performance of mortgage-backed bonds (and trillions of gains for the speculators who bet against them). Credit default swaps or “CDS” were the weapons of this mass destruction. Those who want to buy insurance protection against losses on bonds should be required to actually own those bonds, just as those who buy fire protection on a house need to actually own it. Will you require such an “insurable interest” for those buying CDS protection? Such a requirement would limit the size of this radioactive market and remove perverse economic incentives for speculators to benefit when bonds default.
Source: cnn.com
When can you apply for a mortgage after filing for bankruptcy?
When folks file for bankruptcy protection, they will be able to put an end to creditor harassment and possibly avoid foreclosure. In some cases, consumers do not have to worry about having their wages garnished while they work on developing strategic and effective bankruptcy plans. Many folks may be aware of these benefits, but there are many other important benefits that folks are not always aware of or have misunderstandings about that could affect their financial decisions in the future or their decisions about filing for bankruptcy protection.
Source: bankruptcysandiegoattorney.com
^?#$%! and the Mortgage Crisis
We all have not-so-fond memories of the mortgage crisis. Home values collapsed, the investors who bought these mortgage-backed securities blamed one another, and Uncle Sam wrote a big check to fix everything. The crisis, like most other crises, was not entirely a surprise. Even before the bottom fell out, one Bear Sterns executive described securitization as a ”sack of shit” and a “shit-breather”, even going so far as to define the latter term.
Source: dallasbankruptcy.com