I received a Notice of Hearing scheduled for tomorrow, what happens if i don't show up for hearing? I signed my final loan modification docs and had them back to the lender by April 3rd. I spoke to the lender today and they stated that I am current on my mortgage and am no longer in foreclosure so I do not have to attend the hearing.
Chapter 7 Bankruptcy Attorney
You should have called the attorney's office today and asked if the hearing is cancelled. If the hearing is in the morning before attorney's office opens, like 8:45 AM, then I don't know what to tell you. If the hearing goes on without you being there you may have a problem. If you show up and tell the judge that you were led to believe that all has been reesolved, the judge will take notice. But then you may show up only to find that the hearing has been cancelled. Maybe you can call the judge's office early tomorrow morning and get the judge's judicial assistant (secretary) and you can ask her if the hearing was cancelled.
The foregoing is offered for informational purposes only and is not legal advice. There has been no attorney-client relationship established hereby and none intended.
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Real Estate Attorney
Unless you can get confirmation in writing that the hearing (what is it for?) is canceled, show up and advise the Judge of the modification (congrats!). The JA will not have information on whether the hearing is on or not.
This is a potentially very dangerous thing to do. You are likely to find that the court will enter judgment against you and set a sale date.
The foreclosure process is broken. The way the mortgage companies and their counsel communicate is broken. The way the court functions in this environment is dysfunctional. You will take a huge risk if you don't appear, and also to bring with you a copy of the signed final modification documents and an affidavit in oppostion to the motion for summary judgment which you have signed, had notarized and also file a copy with the Clerk BEFORE the hearing and bring a court stamped copy with you to the hearing to show to the judge, opposing the granting of summary judgment and indicating that the matter has been fully settled and resolved.
The people on the phone at the mortgage company are not attorneys. They have no understanding at all of how the foreclosure process works, and it is against the law for them to tell you what is and is not ok to do. The court has no way of knowing what you did or did not agree to with the mortgage company and odds are very strong that the attorney who shows up there will not know either. You need to protect yourself or you may find things spinning completely out of control.
People have no idea what chaos exists in these cases. It is probably too late for you to obtain the services of an attorney to go with you, however you really do need to protect yourself.
Unfortuantly, the people who are filing the foreclosure against you do not speak to the other people who are doing the modification. You may still have your home sold under the circumstances you describe and should get a commitment in writing from the legal department that this will not happen.
Most modifications are actually bad for the consumer and I hope you got a chance to read and understand what you agreed to. Most people end up in a situation far worse than if they had performed under the original note. First you typically sign away many of the defenses to the foreclosure. Second any short term savings is often dealt with by longer payments and an interest rate that floats in 3-5 years. The common consensus is that interest rates will be significantly higher in 3-5 years and that means your payments will significantly increase.
One bright side is that if they do go ahead with the foreclosure, it can be considered a breach of contract and allow you to enter into a real loan modification or solution that will benefit you.
Of course, every case is different and you should review your specific circumstances with a lawyer before signing any modification or agreement that would limit your rights.