Mortgage Relief Leads to Foreclosure Notice
NBC News reports that Obama’s Mortgage relief plan can lead to foreclosure. Just ask Deb Franklin. As NBC News reports, for nine months Deb Franklin did exactly what JP Morgan Chase and President Obama told her to do.
Deb Franklin made her mortgage payments, on time, after they were reduced from $1,433 to $1,233 through Obama's Making Home Affordable program. After three payments, however, the mortgage relief was supposed to become permanent, but red tape and paperwork landed her in limbo. It is unclear as to whether or not she sought filing Chapter 13 bankruptcy at this time.
Then the day after Christmas Deb Franklin received notice from JP Morgan Chase that they had begun the foreclosure process. In the aftermath Franklin has been told by bank representatives that the foreclosure notice was sent in error, but she doesn't buy it. Franklin told NBC on a single day in early January, she says, one Chase representative told her that the loan modification plan had been denied, another said it was approved, and a third told her the foreclosure had been "suspended."
In retrospect the Franklin’s 10-month odyssey through the Making Home Affordable program raised their mortgage balance from $187,000 to $207,000, ruined their credit score, leading to cancellation of their credit cards, and now -- despite making all their payments -- put them on the brink of losing their home. For San Jose, San Francisco and Northern California debtors on the brink of losing their home, filing Chapter 13 bankruptcy will stop the foreclosure process and may be an alternative to a loan modification.
If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys. After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down, stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs. Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.
