bankruptcy

via Mortgage Relief Program Released – CBS News.

(CBS/ AP) The Obama administration is kicking off a new program designed to help up to 9 million borrowers stay in their homes through refinanced mortgages or loans that are modified to lower monthly payments.

(snip) On Tuesday, key moderate Democrats in the House wrote a compromise to a housing bill that requires bankruptcy judges to consider whether banks offered homeowners reasonable loan restructuring deals before they weigh in with judicial remedies.

(snip) Borrowers also would have a responsibility to prove that they tried to modify their mortgages with their lenders before seeking help in bankruptcy court.

Look. Do you want to stay in your house or not? If  you do, then you need to get to your mortgage institution ASAP and bring everything you have, documentation that shows how you got into this mess and bring along a witness. Plead you case. Ask them to hold off foreclosure at least until this bill gets through Congress. Ask them to produce their copy of the mortgage agreement – they probably sold it. If they refuse to stop foreclosure, get it in writing.  Get them to sign something saying they refused to work with you, and remember, gouging you for catch-up money isn’t cooperation. Tell them if you had money you wouldn’t be sitting here today. If they refuse to sign, annotate that and get your witness that you brought with you to affirm it.  This is your financial future and you have to take charge.