*Due to rules of your state bar or mine, nothing herein is intended as legal advice, only intended as general information to better help yourself.*
So sorry to hear of this dilemma. If my answer is not clear to you, please ask me for clarification by using the reply button.Unfortunately property that is owned by tenancy of the entireties may be attached for the benefit of creditors of both spouses-- therefore since you have joint debt on the investment property, the bankruptcy trustee may attach property held by tenancy by the entireties that is not otherwise exempt
Please use the REPLY button if you have any questions concerning my answer. Otherwise please click ACCEPT so that I am paid by the site for answering.
My question relates, not to the trustee, but to the creditor. Can the bank place a lien on the house if I file separately?
no creditor can file a lien while you are in a bankruptcy. Before the bankruptcy, the bank may file a lien on the house
It's still not clear. Before the lien is placed on the house, and after I am discharged, can the bank then place a lien on the house? If I file separately before a lien is placed on the house, is the bank forever prevented from placing a lien on the house?
Yes. However it is important to note that if the value of your home exceeds the amount of your bankruptcy exemption, it is likely that the bankruptcy trustee would liquidate your home in the chapter 7 bankruptcy itself
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).