Currently in a two year fix rate.

[HELP]

Hi,

My current mortgage is not such a bad deal, however I am in a fixed rate in which is about to expire really soon. My concern is that my mortgage could go up and down constantly without any control.

Any suggestions on this dilema as I need to stay still and ride this out, or should I pursue refinancing for a fix rate.

[SinkingFast]

How long have you been paying into your Ch 13 plan??

You'll have to get permission from the Trustee to refi and generally, you have to be in the plan a year prior to taking on a new debt. Even tho this is a refi, the Court would view it as new debt.

[HELP]

I have been in my chapter 13 for 15 months. I do not feel that it would be a problem from the trustee, however I would like to get a lower interest rate or a better payment while in my plan. If I could find a company that would allow this.

[MTG_BANKER_OH]

I have been in my chapter 13 for 15 months. I do not feel that it would be a problem from the trustee, however I would like to get a lower interest rate or a better payment while in my plan. If I could find a company that would allow this.

You have the potential fo refinance with a FHA loan since you have been in the BK for 12 months, however you are right it is all up to the trustee, and if you meet the qualification guidelines.

[Frank]

I thought you had to be 2 years out of BK to go FHA.

[SinkingFast]

I thought you had to be 2 years out of BK to go FHA.

You're probably talking a new purchase after a Ch 7 Discharge. The OP wants to refi inside a Ch 13. Amazingly, it does make a difference to Lenders.

Many mortgage Lenders look more kindly on Ch 13 filers. The view is that those folks are making an attempt to payback something. Ch 7 filers payback nothing. Hence the morals implications.

I don't make the rules. Just read up on 'em and have to live with the consequences.

[MTG_BANKER_OH]

I thought you had to be 2 years out of BK to go FHA.

2 years out of a chapter 7 with a chapter 13 you can do something while you are in it as long as you have trustee approval. You can buy a home just out of a chapter 13 whereas you need to be 2 years out for a chpater 7, you can get a loan a year out of a chapter 7 but there has be be some extenuating circumstances out of your control. But it is very tough to do something unless you are 2 years out of a chapter 7.