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VanDLaw, Attorney
Category: Bankruptcy Law
Satisfied Customers: 833
Experience:  Chapter 7 & 13
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General question - pre planning

Resolved Question:

I have a good track record with 1st mortgage, 2nd and cc payments.
The house loans are under my name only and not my spouse. I'm looking for options because of company buy-out. Can i file bankcruptcy just for my cc (+50k) and Heloc (100k) and keep my 1st?
Submitted: 9 years ago.
Category: Bankruptcy Law
Expert:  VanDLaw replied 9 years ago.



I will be happy to assist you. One cannot take partial bankruptcy, so when you file you will have to include all the mortgage notes, and credit card debt. You can reaffirm the mortgage payments if you are current, meaning you can discharge the credit card debt and agree to keep the house and keep making payments to both lenders. So you would not owe any of the credit card debt but would need to keep paying on the first and second mortgage. The house is the collateral for both loans, so you either pay both or lose both.

Customer: replied 9 years ago.
So in essence, filing for bankcruptcy for +50k cc is not worth it. Thanks for clearing it up.
Expert:  VanDLaw replied 9 years ago.

Well that is up to you, I have clients who file bankruptcy for a lot less in credit card debt. You may want to consult with a bankruptcy attorney in your area to go over your situation in detail.

VanDLaw and 4 other Bankruptcy Law Specialists are ready to help you