I've been in a Chapter 13 now for 13 months, payments have been perfect. I am ready to close on a refinance of my home, it was approved by the Trustee - no problem there. It is an FHA loan and I am only dropping my mortgage payment by a couple hundred dollars, but in a Chapter 13, every little bit helps. My current mortgage is included in the Chapter 13.
Anyway, my mortgage broker suggests that I talk to my lawyer and see if I can modify my Chapter 13 to have this refinanced mortgage outside of the Chapter 13. The reasoning is that my FICO score is ZERO right now and will still be ZERO after the 13 is over. Having this mortgage payment outside of the 13 will give me positive credit and a good payment history outside of the 13, which will help me after the 13 is completed.
There is no problem with making the payments - so I am not worried about that. I just get nervous messing with the 13 at all, since everything has been so smooth so far. Anyone have any advice on this? Is it a good idea to get this refinanced mortgage outside of the 13 to start rebulding some credit or should I just leave it inside the plan?
Anyway, my mortgage broker suggests that I talk to my lawyer and see if I can modify my Chapter 13 to have this refinanced mortgage outside of the Chapter 13. The reasoning is that my FICO score is ZERO right now and will still be ZERO after the 13 is over. Having this mortgage payment outside of the 13 will give me positive credit and a good payment history outside of the 13, which will help me after the 13 is completed.
There is no problem with making the payments - so I am not worried about that. I just get nervous messing with the 13 at all, since everything has been so smooth so far. Anyone have any advice on this? Is it a good idea to get this refinanced mortgage outside of the 13 to start rebulding some credit or should I just leave it inside the plan?
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