2nd mortgage, How does it work?

[thelittlemermaid]

Originally posted by jkovick
I would suggest that your friends contact a reputable accredited credit counseling firm. (Not one of those 1-800 GET OUTTA DEBT type places that advertise on late night TV, but a real non profit organization that can help them. )

From what everyone has been saying, some say they can get a loan with no equity and others say they can't. I think I will suggest to her what jkovick has said. Anyone know of any good credit counseling places???

As for going for a loan, they weren't going try to get one until he was back to work, which will be in 2 weeks.

Orginally posted by MrsPete
You said she just wants it to be over; sounds like she's trying to make the financial problems "disappear" by getting a second mortgage. That isn't going to happen. The payment will still be there -- it'll just be in a different place. It doesn't sound realistic --especially with so little equity in place.

She knows it won't "disappear" they just want to get ONE payment and pay for all three things. That way they don't have to pay 3% to the hospital and then on top of that $200 late fee to the doctor and a $200 late fee to the specialest every month that the bill is not paid in full. No matter what they have been paying to the doctor and the specialest, it really isn't getting them anywhere. It shows that they are willing to pay, but thanks to others not paying, ruined it for other people who would like to get on a payment plan.

 

[thelittlemermaid]

I have talked to my friend and I guess her and her DH have decied to file for bankruptcy.

They have a couple of appointments set up with lawyers to talk to them about it. They are going to go for Chapter 7. My DH has a friend who filed for Chapter 7 and he went and talked to him about it for them. Said he had to list everything that he owed on and then the lawyer asked him which ones he wanted to file BK on. Guess he reaffirmed his house and car. Guess they were exempted.

They just don't see any other way. She was really scared to tell me what they have decied to do. But who am I to judge!!! I told her that I am here for her for emotional support. She was there for me when my DD was born and when my mom passed away, so I don't see any reason why not to be there for her during this.

Things happen that people can't help. I understand that all to well!!!

Thanks again for the replys!!!

 

[summerrluvv]

Originally posted by thelittlemermaid
I have talked to my friend and I guess her and her DH have decied to file for bankruptcy.

They have a couple of appointments set up with lawyers to talk to them about it. They are going to go for Chapter 7. My DH has a friend who filed for Chapter 7 and he went and talked to him about it for them. Said he had to list everything that he owed on and then the lawyer asked him which ones he wanted to file BK on. Guess he reaffirmed his house and car. Guess they were exempted.

They just don't see any other way. She was really scared to tell me what they have decied to do. But who am I to judge!!! I told her that I am here for her for emotional support. She was there for me when my DD was born and when my mom passed away, so I don't see any reason why not to be there for her during this.

Things happen that people can't help. I understand that all to well!!!

Thanks again for the replys!!!

I've been following this thread and I was actually going to suggest going that route, but didn't because I know how someone people feel about judging people for filing for bankruptcy. It's great that the exemption laws will let them keep their home. I know in NY most debtors would have to file a Chapter 13 bankrutpcy and pay back a portion for their debts in order to keep their home (I'm learning all this by working for a Bankruptcy Attorney, not personal experience I should add).

I hope it all works out for your friend

 

[tweetsie]

Tell your friend to pray. I guarantee you God will help her to get out of that situation. I know because I have been in a similar situation, maybe not as severe as hers but debt is debt I don't care how you look at it, and before I knew it God was showing me ways to come out from under those bills. He also gave me a piece of mine while I was going through it. To me a piece of mine means everything. If you have that you can make it.

I will also pray for her and hope that those of you who know the words of prayer will do the same.