My home is scheduled for sheriff sale and I am currently waiting for social security disability. Can you help me?
A client came to TAIEB LAW to file a chapter 13 since he had a sheriff sale scheduled. The major issue was that the debtor’s only income was his wife’s income but he was definitely eligible for social security disability. However, he desperately needed time.
Thus since money was tight and the debtor could not pay the entire arrears which were almost $40,000, we initially proposed a loan modification outside the plan where the debtor proposed a nominal trustee payment in the pursuit of a loan modification. The mortgage company’s lawyers gave the debtor 90 days which gave the debtor the opportunity to pursue the social security claim, which the debtor received in October, 2018.
Even though the debtor was never able to move forward on the loan modification, he was able to modify his original plan to catch up on the mortgage arrears. That will now allow him to save his home since he has stayed current on the mortgage and trustee payments on a regular basis since he filed bankruptcy. Mr. Taieb was able to help this 49 year old gentleman from Pennsauken, NJ buy time to obtain his social security award which then gave him the income to do a chapter 13 plan that paid back the money he was behind on his mortgage over 53 months since the social security disability income allowed him to save his home and afford a trustee payment of over $900 per month while maintaining current mortgage payments.
Thus, if you have a pending sheriff sale and may not have enough income at that time, don’t give up hope. Even though there is never a guarantee that you will get a loan modification or a successful Chapter 13 plan, you should never give up when your home is scheduled for sheriff sale.
If you have any questions concerning this matter or any other matter contact TAIEB LAW at 856-235-4994 or visit our website at TAIEBLAW.COM, and schedule a FREE initial consultation.
Steven N. Taieb, Esq. has been a South Jersey Bankruptcy Attorney for over 33 years and is board certified in consumer bankruptcy law by The American Board of Certification which is accredited by The American Bar Association.