Bankruptcy Law Questions? Ask a Bankruptcy Lawyer.
*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
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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