who grants permission to take on a new mortgage

[pedsrn85]

We were informed our trustee does not grant permission to take on a mortgage in the PGH district you have to go to the judge with a motion to grant the perission for a mortgage . Is it this way in other districts or has anyone gone to the trustee while in your 13 . If anyone else has gone to the judge for permission to take on a mortgage . Did you get the answer that day ? Did everyone get a favorable response. Thanks for your help

[Flamingo]

We were informed our trustee does not grant permission to take on a mortgage in the PGH district you have to go to the judge with a motion to grant the perission for a mortgage . Is it this way in other districts or has anyone gone to the trustee while in your 13 . If anyone else has gone to the judge for permission to take on a mortgage . Did you get the answer that day ? Did everyone get a favorable response. Thanks for your help

Here is how it worked for us to get permission to refinance (refinance our first and second mortgages to buy out of our Plan). I am being brief as I don't know whether or not this will apply to your situation. We first contacted our attorney who advised us what to do. After gathering the required information and mortgage approval information, we provided that iformation to the attorney who contacted the Trustee. When the Trustee approved the attorney and trustee BOTH filed a Motion with the BK court to approve our refinancing and to buy out of our plan.

You may want to contact your attorney to find out what the correct steps are as to your situation. A motion will have to be filed, it does take some time (our timeline situation was 6 months from start to signing final papers) and there will be a fee to file the Motion (ours was $400 which was listed on our settlement sheet to be paid at settlemen).

[jgarton244]

We refinanced our mortgage while in our BK 13 plan. Refinance was through FHA loan to get out from a future baloon payment due on mortgage down the road. Our process was we found a FHA lender, applied for the mortgage, went through all the paperwork with the bank. Was given approval for mortgage refinance with stipulation that letter of approval for new mortgage be sent from BK court. Our attorney wrote a letter to the trustee, who then took to BK court judge, who gave approval. Best bet is to get approval, then have attorney write letter to obtain permission. Your attorney should know how to handle this. The attorney wrote that refinancing was in our best interest, as the loan was less per month in payments, and eliminated the pending baloon payment.
It took about three months from start to finish.