Letter from an attorney for the mortgage on the house

[LifeNLemons]

I just got a letter today, Dec 15th, that was dated Dec. 12th, and here's how it reads....

The purpose of this letter is to provide you with written notice, pursuant to Bankruptcy LR 4001(a)(3), that your client is in default. This communication is required pursuant to the above mentioned local rule by the U.S. Bankruptcy Court of Nevada and therefore, is in no way a violation of the automatic stay.
This letter is to advise you that our office has been obtained by Mortgage Co. beneficiary of the Deed of Trust, which is a lien on the subject property.

The following is a breakdown of the amount due: $$$$$

Please contact our office within 48 hours from the date of this notice, should your client with to immediately cure the default. Should our office not receive a respose from you by Dec 14 our office will immediately proceed with a Motion for Relief.

Okay, so I get this TODAY the 15th, I am supposed to respond by the 14th, there is NO postmark, so who knows when it was mailed. And it seems to me that it IS an attempt to collect the debt, IMO. Not to mention the fact that its a joint property and my ex isn't filing BK on it, so does this mean they're gonna go ahead with a forclosure?

[lrprn]

The purpose of this letter is to provide you with written notice, pursuant to Bankruptcy LR 4001(a)(3), that your client is in default.

Have you made all your mortgage payments on time since you filed?

If you haven't, then the mortgage company is well within their rights to start foreclosure action against you whether your house is co-owned or not.

If you filed Ch 7 and were in arrears when you filed, then again the mortgage company can foreclose.

What does your lawyer have to say?

[LifeNLemons]

Have you made all your mortgage payments on time since you filed?

If you haven't, then the mortgage company is well within their rights to start foreclosure action against you whether your house is co-owned or not.

If you filed Ch 7 and were in arrears when you filed, then again the mortgage company can foreclose.

What does your lawyer have to say?

Ahh...., see, my ex let the mortgage get behind. He's been on the brink of forclosure twice. Now I get it. His bad, huh?

I just thought it was a little cheesy that they sent the letter with a 48 hour demand, no postage mark, and I get it the day after I'm supposed to respond.

[hrh25]

I have a same type of question, i am about to file chapter 7 and am also behind on my mortgage payments. I was trynig to work stuff out with the lender and see what they could. I finely heard back from them and was told that my expencess are very high and that i either need to bring it down or incress my income. What they did do was send me a forbearance for three months and i will need to continue to make payments starting January, Feburay and March and then they will call me again to see if my expences have come down and see if they can work something out. Basicaly they said that i either need to brink my expencess down or incress my income. I need to figure out whats more importent the mortgage or other credit cards ext. I did not tell them am filing for bankruptcy.

The sent me this forbearance agreement in writting. My question is will this be an issue do you think that once i file chapter 7 that they will request the full payment that am behind on?

The thing is my first mortgage is for $455,000 and the second is for $114,000 and the house is worth about what the first mortgage is worth only. So if the first mortgage person is first in line to get the money if the house goes in foreclosure as am told they really have not much to lose as compared to the holder of second mortgage. Do you think this will be an issue and does the back payments need to be paid in full even if i have a forbearance agreement because of chapter 7?

Thanks again for all your help.

Regards

HRH

[lrprn]

i am about to file chapter 7 and am also behind on my mortgage payments. ... My question is will this be an issue do you think that once i file chapter 7 that they will request the full payment that am behind on?

You can't file Ch 7, be in arrears on your mortgage, and keep the house.

[hrh25]

Even with an agreement from the lender?

Thanks

HRH

[FreshLikeADaisy]

Life, "Bankruptcy LR 4001(a)(3)" refers to the Local Rules of the District of Nevada. I looked it up, and basically that letter is no more than a "good faith" notice that the mortgage co was about to file for a relief from the automatic stay. They have to send one or the court won't grant their motion. Here's the full text of the Rule mentioned in the letter:

"4001(a)(3) Parties are directed to communicate in good faith regarding resolution of the motion before filing a motion for relief from stay (including, as appropriate, communication with any trustee appointed in the case); and the court may refuse to entertain a motion or opposition where parties do not comply with this rule. The court may award, deny, or adjust fees of counsel for noncompliance." LR 4001. MOTIONS FOR RELIEF FROM THE AUTOMATIC STAY; USE OF CASH COLLATERAL OR OTHER RELIEF; EMERGENCY ORDERS.

I would imagine that if the house is in both your names, and the payments aren't current, your bankruptcy itself would trigger foreclosure, hence the efforts of the mortgage company to move toward a lift of the stay. You may not live there, but because your name is on it and you are protected by the automatic stay, they have to go about it this way in order to begin the foreclosure process. I seem to remember you saying that you were letting the house go (I hope I am remembering correctly, it's all starting to blend anymore ) and if so, you would not have replied to their letter, even if they'd made it clear what it was AND given you time to do so. Hope this helps!