Bankruptcy Fun

[Red Knight]

Here's a good one:

About seven years ago---due to some health problems with my son and my wife having to stop working to take care of him, we got into some debt we couldn't handle and after living on the edge and sinking further we decided bankruptcy was the best option. One thing we did not do was to include our home in the bankruptcy. We never missed a payment. Anyway, our mortgage is tossed from bank to bank and ends up with the good people of Chase.

We start seeing things on our bill about bankruptcy and this and that and it's not a demand for payment--and sort of ominous looking. It also pops up on the credit record we've been trying to repair.

So I call the customer service number and get someone in India who has no idea what I'm talking about when I explain that this is not correct---the home was not in the bankruptcy and it's affecting my credit. Finally I get transferred to a collection department and the guy explains that yes--I've never missed a payment in 16 years but they need the lawyer to "reaffirm" that the mortgage was not listed in the bankruptcy. It's an extra step--he says, that sometimes lawyers don't take.

And I'm thinking--no other company who had my mortgate had this issue. Maybe Chase didn't get the memo.

He tells me nothing can be done until the lawyer "reaffirms" this.

So I had to call the lawyer--who is no longer with the firm but the woman handling her cases will call me Monday.

I'm trying to get this straight because I'm planning on applying for a loan to help my son who is about 4,000 dollars a term short on tuition after, Pell and Stafford and everything else. That's at a state school by the way.

But I have to be concerned about my credit--which I've improved greatly over the last few years because "Chase" needs reaffirmation on something that hasn't affected them at all.

How much more tax money can I give to them? It just makes me all warm and fuzzy inside.

This country is going down the tubes. Fast.

[jeffd]

1. It's all part of the game

If you filed Chapter 7 then technically the mortgage obligation was discharged with the bankruptcy. you could now walk away from it without any obligation or repercussions. Chase know this and that is why they are pushing you to confirm. By not confirming they could start the foreclosure process (Doubtful but possible) since the debt has been discharge. I would talk to your lawyer about this but it is a common thing to happen.