Right to a settlement conference — ask the court within 30 days of service
Ind. Code § 32-30-10.5-8
In plain words
Indiana homeowners in foreclosure can ask the court for a settlement conference with the lender to look for a way to keep the home, such as a loan modification. You must tell the court you want to take part no later than 30 days after you are served with the complaint.
Who is protected
Indiana debtors on residential mortgages in foreclosure.
When it applies
- Only in Indiana.
- Only after a notice of default or once a sale date is set.
- Only if the home is your primary residence.
What you can do
Put the deadline on your calendar
Mark the service date and file your request for a settlement conference before day 30.
Deadline: 30 days after the complaint is served on you
Open the toolGet ready for court
Bring proof of income, expenses and hardship to the conference.
Open the tool
Honest limits
- The lender must take part, but it does not have to agree to a modification.
- This is general education, not legal advice. Laws change and details depend on your papers and your court; check the current law or ask a lawyer or legal aid.
The law
- State lawRight to a settlement conference
Ind. Code § 32-30-10.5-8
What it says: The notice must tell the debtor they may schedule a settlement conference by notifying the court within 30 days after service.
Read the official texthttps://law.justia.com/codes/indiana/title-32/article-30/chapter-10-5/section-32-30-10-5-8/
Court cases
- Homeowner lostSame topicMartins v. BAC Home Loans Servicing, L.P.
Martins v. BAC Home Loans Servicing, L.P., 722 F.3d 249 (5th Cir. 2013)
a mortgage servicer acting for a properly assigned mortgagee may foreclose in Texas without possessing the original note, and an oral promise to modify a large loan is not enforceable
- Homeowner lostSame topicLage v. Ocwen Loan Servicing LLC
Lage v. Ocwen Loan Servicing LLC, 839 F.3d 1003 (11th Cir. 2016)
a servicer's duty to evaluate a loss-mitigation application depends on its being submitted more than 37 days before the sale date scheduled at that time
- Homeowner lostSame topicGresham v. Wells Fargo Bank, N.A.
Gresham v. Wells Fargo Bank, N.A., 642 F. App'x 355 (5th Cir. 2016) (per curiam) (unpublished)
the federal dual-tracking bar applies only when the servicer receives a complete loss-mitigation application more than 37 days before the foreclosure sale
- Homeowner lostSame topicBoren v. U.S. National Bank Ass'n
Boren v. U.S. Nat'l Bank Ass'n, 807 F.3d 99 (5th Cir. 2015)
a lender may abandon a prior acceleration by giving notice that it seeks less than the full accelerated balance, which restarts the four-year limitations period
- Homeowner lostSame topicWhittier v. Ocwen Loan Servicing, L.L.C.
Whittier v. Ocwen Loan Servicing, L.L.C., 594 F. App'x 833 (5th Cir. 2014) (per curiam) (unpublished)
a RESPA claim against a servicer fails without evidence of actual damages caused by the violation
- Homeowner lostSame topicMilton v. U.S. Bank National Ass'n
Milton v. U.S. Bank Nat'l Ass'n, 508 F. App'x 326 (5th Cir. 2013) (per curiam) (unpublished)
an agreement to delay a Texas foreclosure falls within the statute of frauds and must be in writing to be enforced
Related rights
Right to a presuit notice at least 30 days before a foreclosure is filed
Ind. Code § 32-30-10.5-8(a)
Before a lender can file a foreclosure on your Indiana home, it must send you a presuit notice by certified mail at least 30 days ahead. The notice explains your rights, including the right to a settlement conference, and how to find housing counseling.
Read this rightRight to defend the court case; no sheriff’s sale for 3 months after filing
Ind. Code § 32-29-7-3
Indiana foreclosures go through court, so you can file an answer and raise defenses. In most cases the sheriff’s sale cannot be carried out until three months after the complaint was filed. The sale must also be advertised, with the first notice at least 30 days before the sale.
Read this rightThe right to be heard in court, and to speak for yourself
U.S. Const. amend. XIV, § 1Due Process Clause
Due process means that before the government, through a court, takes your property, you must get a meaningful chance to be heard. In federal court, you have a legal right to present your own case without a lawyer. Most state courts also let people represent themselves, under state rules.
Read this rightPause a court case while on military duty
50 U.S.C. § 3932(b)(1)
If you are in military service and get sued, the court must pause the case for at least 90 days if you ask and show that your duty keeps you from appearing. Before a court can enter a default judgment against you, the other side must file a sworn statement saying whether you are in the military, and the court may appoint a lawyer for you.
Read this rightFHA loans: a meeting before foreclosure
24 C.F.R. § 203.604(a)(1)
If you have an FHA-insured mortgage, your lender must meet with you — or make a reasonable effort to arrange a meeting — before three full monthly payments are unpaid and at least 30 days before starting foreclosure. A reasonable effort means at least two verifiable attempts to contact you. HUD now decides how the meeting may be held.
Read this rightFHA loans: the lender must look at ways to avoid foreclosure
24 C.F.R. § 203.605(a)
If you have an FHA-insured mortgage, your lender must review loss-mitigation options every month before four full payments are unpaid, and take the appropriate action. FHA options can include special forbearance, loan modification, a partial claim (an interest-free second loan from HUD to cover arrears), a pre-foreclosure sale, or a deed in lieu.
Read this right