BK imminent, loan mod & notice of default

[toushay]

California... June 1 our 3rd of 3 pmts is due as part of the forbearance 'trial period' before a mod (1st w/ WAMU) goes permanent. We tried to get a mod w/ 2nd (*ETrade Bank). They charged off 2nd, sending loan to the recovery dept making mod impossible. We are walking away-can't afford recovery terms.

We planned on Ch. 7 BK w/ 65K in other debt and now will include the house- it's worth 300K less than the loans. (we're not doing lien strip in ch. 13 b/c we can't do 3-5 yr plan w/ 6 kids unexpected expenses).

If our Notice of Default sale date remains 6/24 unless 3rd pmt is rec'd by 6/1, should we pay June 1st pmt to WAMU if we need a few more months to find rental, or save the cash since bk is imminent? How much time does that buy us in this process? If I don't pay the $3200 & file emrgcy bk, how long do I have before eviction (we have 6 kids)

[bigun]

Pay nothing if this is a debt you will discharge in bk. In fact, stop paying all debts you'll discharge.
You likely have 6 months or more before you're finally evicted. Save your money for your lawyer and moving expenses.