Second mortgage

[blackbelt]

Hi new here, I am current on all debt however I have a second mortgage for 50 k it’s private and paid one payment 14 years ago. Now note holder calling note or will foreclose. Talked to attorney he said file chapter 13 any thoughts

[shipo]

My gut says, find $50,000 somewhere, or file Chapter 13; the only other remote possibility is to try and negotiate a smaller settlement amount, assuming you can come up with some money.

[flashoflight]

14 years of arrears is going to be a huge number. Normally you have to make both the regular payment and 1/60th of the arrears in a normal chapter 13. Maybe convince the trustee to take $200 payments for the first 18 months with steep increased payments on the arrears for month 18-60 with the intent of refinancing everything at month 12 and doing a plan mod to get the arrears out of the ch13. You can also do cashout refi to buyout the 13 early as well. It depends if you can convince the trustee to make a special deal. The creditor may object to another 12-15 months of delays and not getting paid.