Discharged! What about the home loan?

[mrman]

The house was an exempt asset but I didn't reafirm. I've been paying on time and just got my discharge. What do I do now? Any problems to expect with Wells Fargo?

[KevinR]

If you've kept current with your payments I would imagine they don't care. Probably just a matter of paperwork.

But don't take my word for it, I'd call your lawyer.

[Minnymouth]

Did you intend to surrender your home in BK?
If so, did your attorney tell you to keep up payments??

Most people that surrender their homes, do not keep making payments on them.....

If you intent was to keep your home, AND you did not reaffirm - THEN you MUST KEEP ALL PAYMENTS current at all times to prevent them from foreclosing on you. And even now they may demand that you surrender the home.... since you are discharged.

[wendichris]

Mr Man-
We submitted a request for a reaffirmation agreement on our house and car. The bank that had given us our car loan sent back the reaffirmation agreement, the mortgage company never did.

After our 341 I asked my attorney if we needed to follow up with them and push the reaffirmation agreement. My attorney basically said that the reaffirmation agreement is really to protect the mortgage company in the BK process. From what I understand, since the company did not send back the reaffirmation agreement and the discharge went through, we would not be responsible for the balance of the mortgage should something happened that would cause us to give up the house. He stated that they as long as we remain current on our mortgage that we would be fine. I confirmed this by calling my mortgage company an asking them about it. So keep you payments current, don't make any waves with the mortgage company, and you will be fine.

Of course, my advice is just that. If you have further concerns I would make sure to address your lawyer about them! That's why he gets the big bucks :-)

wendi

[BLogan]

I'm having trouble with the Mortgage company wanting a reaffirmation from the court - the judge said it wasn't necessary for a long term obligation. The mortgage company is ok with it but can't report it to the credit bureaus - and I pay on time and want that to show to improve my credit. I didn't use an attorney - not sure what to do - write the judge?

[edwards2]

Blogan...that is interesting. We reaffirmed on our house. Even though I know not reaffirming would have meant we would not owe anything should we stop paying, the mortgage company took back the house and sold it for less than we owe. However, it was important to us to have them report to the Credit Bureaus. That would be the negative side of not reaffirming.

[BLogan]

I live in SW Florida - house prices are skyrocketing - my house is worth way too much to lose it now. Guess I'll have to hire an attorney to refile with the judge to reaffirm the debt so it will show on my credit scores.