Bumbled Bankruptcy

What is the name of your state?Missouri

Over two years ago I filed a chapter 7 with a request to re-affirm two debts. One was for my car the other for my home. The bankruptcy was filed and completed with no "known" issues.

Fast forward to just about 4 months ago. While changing to a better job I got behind on my house payment. Once I got settled into the new job I called my home lender to set up a payback schedule in order to catch back up. They said they would need a copy of my letter of re-affirmation to do that. "No problem" I told them. After all, it was in my bankruptcy folder right? Wrong. Well I called the lawyer that filed the bankruptcy, and the short and sweet was that they could not find my folder, period. After a few days the secretary from the lawyers office called me. They had found my folder but low and behold there was no letter of re-affirmation for my home loan. Apparently they had sent one to the address provided for the home lender and never recieved it back. They had called the number provided for the home lender but never spoke to anyone. The secretary told me she remembered now that she had tried to reach me several times to get a valid number or address for the home lender and could not reach me (does this sound at all fishy to anyone but me?).

So, I was stuck trying everything I could to save my home. The loan company would not work with me in any way and I have since lost my house.

My questions are:
1) I'm sure the home lender has filed on my credit as a foreclosure. Is there any way I can make them take this off my record since they can't foreclose on their own property? What about having them remove past credit reports since I had no contract with them?

2) Do I have any legal recourse against my previous lawyer? Such as breach of contract since they didn't do what they said they did?

3) The previoius lawyer said I should be safe against the home lender pursuing me for any balance from the home. Is this correct?

[Ladynred]

1) I'm sure the home lender has filed on my credit as a foreclosure. Is there any way I can make them take this off my record since they can't foreclose on their own property? What about having them remove past credit reports since I had no contract with them?

Better pull your reports and find out exactly what IS being reported. The problem is, it was your loan that was foreclosed on, the house was just security, so you can't make them take it off your reports. Chances are that w/o a reaff, the debt is listed as included in bankruptcy anyway.

2) Do I have any legal recourse against my previous lawyer? Such as breach of contract since they didn't do what they said they did?

Doubtful. The lawyer DID do what you hired him for - got you your bankruptcy. You probably can't nail him for the fumbled reaff.

3) The previoius lawyer said I should be safe against the home lender pursuing me for any balance from the home. Is this correct?

True. Without a reaffirmation, the debt was discharged and they cannot legally come after you for anything.

What's interesting is that MO doesn't allow you to keep secured property w/o a reaff or redeeming the property - so there was more than one screw-up.

Thanks very much for the information. Mostly I just wanted to get some input on how safe I am from future repercutions.