Anyone know the answer to this?

[Ann]

All,
Does anyone know how long a mortgage company who is willing to settle with you (on a second mortgage with no equity) gives you to come up with the funds? We are going to try and settle with our second for about 5% of the loan balance by using funds we plan to withdraw from our IRA. My guess is that I should withdraw the absolute most I am willing to settle for BEFORE I try to negotiate so that IF they are willing to settle I will have those funds available asap. Does anyone know how long they USUALLY give you to accept an offer??? Thanks!

[notforsale]

I have heard 10 days. I would caution you about pulling to much from your retirement if you will soon be filing bk. I would wait until they are ready to accept a settlement and then tell them how you will access the funds and the timeline you will need to ready those funds. Good luck! We are trying to settle our 2nd with Citi. We hope to know something this week.

[Ann]

I have heard 10 days. I would caution you about pulling to much from your retirement if you will soon be filing bk. I would wait until they are ready to accept a settlement and then tell them how you will access the funds and the timeline you will need to ready those funds. Good luck! We are trying to settle our 2nd with Citi. We hope to know something this week.

We filed in May and expect a discharge in late August. We are only talking $3500 I will offer them no more and I will not start with that I will start lower and hopefully work my way up to that if need be.

[Pandora]

We filed in May and expect a discharge in late August. We are only talking $3500 I will offer them no more and I will not start with that I will start lower and hopefully work my way up to that if need be.

what kind of penalty are you going to pay for pulling that 3500 out of your IRA? Something you need to think about if penalties come into play - that 3500 now becomes much much more.

Make sure you get in writing before you send any money the terms to that agreement i.e,. 1099, release the lien in full... etc.

[Ann]

I'm really interested here in how long does one usually have to come up with the funds...one person says 10 days...is that all?

[Pandora]

No one but your lender can tell you how long you have - you'd have to ask them.

[notforsale]

I'm really interested here in how long does one usually have to come up with the funds...one person says 10 days...is that all?

I just settled my 2nd for 6 percent of the balance. They wanted the money within 3 hours because of a deadline on our 1st to mod. But getting 6 percent I was ok with the timeline. I would make the terms of the payment part of my proposal to the bank.