Bankruptcy Law Questions? Ask a Bankruptcy Lawyer Now.
Filing a Chapter 7 will not at all effect the mortgage payment. When I said you would not lose your house if it has no equity, I meant the Bankruptcy trustee would not take it. However, if the mortgage is not paid, the bank can take it.
If you file a Chapter 13, the mortgage arrears can be stretched out and paid over the course of the Chapter 13, in addition to the regular monthly payment. Being able to do this is one of the main reasons that debtors file a Chapter 13. The other main reason is a second mortgage can be removed in a Chapter 13, but not in a Chapter 7.
DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.
The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).