Can I refi a VA loan (in Forbearance) that was D/C in Ch. 7 BK 06/19?

[Anonymous]

Here's an odd one...

I filed Ch 7 BK 02/19 and D/C 06/19. My attorney discouraged me from signing that form that is supposed to keep one's mortgage out of their BK. I cannot recall its name. So, my VA loan was D/C along with the rest of my debts just over a year ago. It is reflected as such on my credit reports. I continued to make the mortgage payment per the lender's terms until I chose to go into Forbearance in 04/20. 

I'm considering extending the forbearance by seven months, and then working with the lender to extend the life of the loan by adding those missed payments onto the end of it. I'm also wondering if I am eligible for refinancing the VA loan at a lower interest rate than the current 3.75%. Given the status of the D/C loan in Forbearance, I don't know if that's even possible. I've tried numerous times to reach the lender, and I either have to request a call back (that I never get) or leave a message (that is never returned). This has been going on for about two weeks.

I'm not sure what I can do. Any ideas?

[dragontears]

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@Anonymous wrote:

Here's an odd one...

I filed Ch 7 BK 02/19 and D/C 06/19. My attorney discouraged me from signing that form that is supposed to keep one's mortgage out of their BK. I cannot recall its name. So, my VA loan was D/C along with the rest of my debts just over a year ago. It is reflected as such on my credit reports. I continued to make the mortgage payment per the lender's terms until I chose to go into Forbearance in 04/20. 

I'm considering extending the forbearance by seven months, and then working with the lender to extend the life of the loan by adding those missed payments onto the end of it. I'm also wondering if I am eligible for refinancing the VA loan at a lower interest rate than the current 3.75%. Given the status of the D/C loan in Forbearance, I don't know if that's even possible. I've tried numerous times to reach the lender, and I either have to request a call back (that I never get) or leave a message (that is never returned). This has been going on for about two weeks.

I'm not sure what I can do. Any ideas?

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1. I *think* you have to be 2 years out of BK before you can refi unless you have extenuating circumstances 

2. All reports I have seen says you can't refi while doing forbearance (makes sense, what lender wants to give you a new mortgage when you currently "can't" pay your current one)

[ghostVetFL]

Yes there is a two year wait after filing ch 7 before doing anything with VA. You should look into trying to do a remodification. If you had financial problems because of Covid-19(😉) by law they have to try to work something out with you. So very likely you would qualify for that. 

Remodification means they move the payments to the back of your current loan. 

Hope this helps. Good luck