About 2 years ago I was working for a contractor, and had an accident, I herniated discs in my lower back and have been unemployed since.
The contractor had no workers comp. or liability insurance and left the state. I got a judgement against him but it has been unenforcable as he closed his business down.
As I was subbing to him I have not been able to get any form of disability or unemployment.
We tried to keep up with our mortgage even taking out a loan against my wifes 403B, but couldn't keep up with all the medical expenses etc.
In the summer we filed for Chapter 7 bankrupcy and included the house after discussing it with our lawyer.
We are in the process of I guess pre foreclosure as we were served with the papers today.
In early December we contacted Hope Now and submitted all the documents etc to them, I call them weekly but have not really got an answer about our case.
As there is over $120,000.00 of negative equity in our home it really doesn't make much sense the bank foreclosing, but they probably will.
Does anyone have any ideas ? or should we just wait around to hear from Hope Now.
We had a meeting with a rep. from a non-profit back in November and he said there were at least 4 violations on our mortgage documents, each that would be a $50,000.00 fine against the lender, he then said they would represent us for $1000.00 down and $500.00 per month and were 99% successful in getting the lenders to renegociate.
We have since heard horror stories on NPR etc regarding these type of non-profits ripping people off.
does anyone have similiar stories or any ideas ?
Thanks

Well if you are thinking about hiring any company to help always check with the BBB and make sure they have a clean record.

You might want to call your lenders loss mitigation department to see if they accept the Hope for Homeowners program. This would stop the foreclosure and erase the negative equity, IF your lender is willing to work with it.