Banks claim they do not want to foreclose because they lose money. I have permission to share this open letter from a person that did not reaffirm their adjustable rate mortgage after bankruptcy:

“They filed foreclosure last year, we sucked it up and paid almost $9,000 to them – we requested an “accounting” of where the money was applied and received no response from them. We asked for that accounting because we do feel that they owe us money for insurance they continually made us pay no matter how many times we faxed and called and wrote to advise we had our own insurance (homeowner’s insurance).

“We filed bankruptcy this year and did not file the reaffirmation agreement because they wouldn’t AGAIN answer our questions concerning the sickening amount of fees they said were owed. They simply called them “corporate fees”

“Then we get served with foreclosure again last week. I called and asked and they said they didn’t have to warn us since we didn’t file the reaffirmation agreement. They said the ARM rate went up in August, thus our payment went up and AGAIN they did NOT have to notify us since we didn’t file the reaffirmation agreement.

“I asked to speak to somebody they told me their foreclosure department was transferred to India and didn’t take phone calls.”