Jack Catalano
LoanSafe Member
I have been talking to a lawyer with there free consultation.
Can you please help me? I'm desperate and scared
- Thread starter Jack Catalano
- Start date
OneHugeMess
LoanSafe Member
What have they told you about Monday?
Jack Catalano
LoanSafe Member
Well, the lawyer told me that I should file for Chapter 7 Bankruptcy by Friday and the Law Day would go away on Feb.24. I also believe that would give me some more time in the house.
smileback1953
LoanSafe Member
thank you all for your kindness, sharing heart. I've been in extreme distress given my 2nd lien's run around. been sick for years, hired bad lawyers who took advantage of my vulnerability. despite 1st being current, i went sleepless nights for years, given identity, family and financial, medical crisis- to no avail- hope my reply get successfully read by all--you guys are great.
my questions : 1) should i accept debt collector lawyer offering monthly pay arrears current for a year, to avoid forclosure
with current balance including late fees, legal fees, w/ condition to dismiss case on fraud violations done 2014, filed 2017.
2) do we need to swallow this offer just to stay current to apply for loan mod later on, or should i do loan mod now?
3) are there other options like in-house mod, but my house now has some equity bank wants to access thru foreclosure. thanks so much and continue this advocacy my prayers with you.
my questions : 1) should i accept debt collector lawyer offering monthly pay arrears current for a year, to avoid forclosure
with current balance including late fees, legal fees, w/ condition to dismiss case on fraud violations done 2014, filed 2017.
2) do we need to swallow this offer just to stay current to apply for loan mod later on, or should i do loan mod now?
3) are there other options like in-house mod, but my house now has some equity bank wants to access thru foreclosure. thanks so much and continue this advocacy my prayers with you.
OneHugeMess
LoanSafe Member
What Is Strict Foreclosure?
In a strict foreclosure, the foreclosing party (the "lender") goes to court to ask for an order declaring you to be in default on the mortgage and permitting it to foreclose. If the court agrees that you are in default, it will approve the foreclosure and give title to your home directly to the lender. There is no foreclosure sale like with a judicial or nonjudicial foreclosure. (Learn about the general steps in a judicial or nonjudicial foreclosure.)
Strict Foreclosure in Connecticut
In Connecticut, the lender may opt to pursue a strict foreclosure if you default on the mortgage. (Conn. Gen. Stat. § 49-24).
How strict foreclosure works in Connecticut. The lender begins a strict foreclosure by filing a complaint (lawsuit) with the court and serving it to you along with a summons. (Learn more about the difference between a foreclosure summons and complaint.) You’ll also get information about:
You can stop the strict foreclosure by paying off the debt. The court will give you get a certain amount of time to make full payment on the debt—called “redeeming” your home—before you lose it. The last day to redeem is called a “Law Day.” If you don’t redeem by the deadline, and the Law Days for any other defendants pass, title to your property will go directly to the lender. (Learn more about redeeming your home in a Connecticut strict foreclosure in If I lose my home to foreclosure in Connecticut, can I get it back?)
What is a deficiency judgment? When your total mortgage debt exceeds the foreclosure sale price, the difference is called a “deficiency.” Some states allow a lender to seek a personal judgment (called a “deficiency judgment”) against you for this amount.
You could face a deficiency judgment after a Connecticut strict foreclosure. Even though there is no foreclosure sale in a Connecticut strict foreclosure, the lender may seek a deficiency judgment against you after the foreclosure. The deficiency amount will be the difference between the total outstanding debt and the property’s fair market value, as determined by the court. (Conn. Gen. Stat. § 49-14). (To learn more about deficiency law in Connecticut, see Deficiency Judgments After Foreclosure in Connecticut.)
In a strict foreclosure, the foreclosing party (the "lender") goes to court to ask for an order declaring you to be in default on the mortgage and permitting it to foreclose. If the court agrees that you are in default, it will approve the foreclosure and give title to your home directly to the lender. There is no foreclosure sale like with a judicial or nonjudicial foreclosure. (Learn about the general steps in a judicial or nonjudicial foreclosure.)
Strict Foreclosure in Connecticut
In Connecticut, the lender may opt to pursue a strict foreclosure if you default on the mortgage. (Conn. Gen. Stat. § 49-24).
How strict foreclosure works in Connecticut. The lender begins a strict foreclosure by filing a complaint (lawsuit) with the court and serving it to you along with a summons. (Learn more about the difference between a foreclosure summons and complaint.) You’ll also get information about:
- special foreclosure protections in Connecticut for certain homeowners (Conn. Gen. Stat. § 49-31e) and
- Connecticut's foreclosure mediation program. (To learn about other aspects of Connecticut foreclosure laws, see Key Aspects of State Foreclosure Law: 50-State Chart.)
You can stop the strict foreclosure by paying off the debt. The court will give you get a certain amount of time to make full payment on the debt—called “redeeming” your home—before you lose it. The last day to redeem is called a “Law Day.” If you don’t redeem by the deadline, and the Law Days for any other defendants pass, title to your property will go directly to the lender. (Learn more about redeeming your home in a Connecticut strict foreclosure in If I lose my home to foreclosure in Connecticut, can I get it back?)
What is a deficiency judgment? When your total mortgage debt exceeds the foreclosure sale price, the difference is called a “deficiency.” Some states allow a lender to seek a personal judgment (called a “deficiency judgment”) against you for this amount.
You could face a deficiency judgment after a Connecticut strict foreclosure. Even though there is no foreclosure sale in a Connecticut strict foreclosure, the lender may seek a deficiency judgment against you after the foreclosure. The deficiency amount will be the difference between the total outstanding debt and the property’s fair market value, as determined by the court. (Conn. Gen. Stat. § 49-14). (To learn more about deficiency law in Connecticut, see Deficiency Judgments After Foreclosure in Connecticut.)
OneHugeMess
LoanSafe Member
If the law day is truly Feb 24th, than you need to immediately file for bankruptcy. I'm serious, you need to get that completely done and filed unless you want to lose the home.
After the law day, they will begin a eviction proceeding, and you'll likely have about 30 days to get out. If I were you, I would file for bankruptcy right now.
After the law day, they will begin a eviction proceeding, and you'll likely have about 30 days to get out. If I were you, I would file for bankruptcy right now.
Jack Catalano
LoanSafe Member
I plan on filing for bankruptcy tomorrow.
OneHugeMess
LoanSafe Member
Is the attorney fully aware of this? Are they willing to potentially work through the weekend? I'm honestly worried for you.
Jack Catalano
LoanSafe Member
Now, which bankruptcy should I file for? I heard that Chapter 7 would allow me to stay in the house for 6 months. Chapter 13 bankruptcy would allow me to stay even longer. Is that true?
Jack Catalano
LoanSafe Member
I was told by a lawyer that if I file by tomorrow then I won't be evicted and the Law Day would go away on Feb. 24.
OneHugeMess
LoanSafe Member
Chapter 13 will allow you to enter into a guaranteed repayment plan for the debt. Even if the Loan Servicer refused to give you a reinstatement, you would have the option to keep the home. Chapter 7 may not provide all the benefits you are looking for.
Do you have any other debt, besides the house?
OneHugeMess
LoanSafe Member
That is true
Jack Catalano
LoanSafe Member
I have no other debts besides the house.
OneHugeMess
LoanSafe Member
In that particular case, I would file for a Chapter 13 Bankruptcy. I think it would give you maximum benefit, as well as keep the option open to file for a Chapter 7. Unless you have credit card debt or other stuff to discharge, it doesn't really make a lot of sense to go the 7 Route.
Chapter 13 ensures a repayment plan, which is most important to you right now - anyway.
Chapter 13 ensures a repayment plan, which is most important to you right now - anyway.
OneHugeMess
LoanSafe Member
Also - once you file for Chapter 7, you are limited from filing again for many years. Chapter 13 can be filed multiple times. I think it's best you keep that option open.
isisis
LoanSafe Member
I found out what Law Day means in Connecticut. Kind of late in the game, huh? If you missed any deadlines you could try contacting the court clerk and ask for mediation but it looks like bankruptcy may be your only option at this point. Once that gives you a little breathing room you could then look into mediation and finding a roommate to cover the rest of your payment.
Jack Catalano
LoanSafe Member
Ok, so I filed Chapter 13 Bankruptcy.
Jack Catalano
LoanSafe Member
Thank You.
Jack Catalano
LoanSafe Member
Now, what is next?