Can I Still Keep My Home If I Go Bankrupt But Continue Paying The Mortgage?


6 Answers

lesley louis Profile
lesley louis answered
Now the answer to this depends on which country you live in. Both UK and US law are different on almost all aspects. But in most cases regardless of where you are there is an equity exempt clause which means that if that in your home the equity is valued above and over the sum of the secured and unavoidable debts on it plus the exemption under the applicable law plus the cost of selling the house, the trustee will not sell your home from underneath you to pay your creditors. There is more to this law but further reading on the specific section will be required, but in most cases if there is equity and you can keep making payments then the answer is no.

Bankruptcy law can be complicated so the best thing to do always in any case is consult a fully qualified solicitor/lawyer. They can fully help you to understand the implications of going bankrupt and how by going bankrupt will impact everything in your life. This is something that most people do not understand; bankruptcy affects every aspect of your life as it stops you from doing and owning a wide range of things.
shawn n/a Profile
shawn n/a answered
It depends on the state, so you will want to ask your attorney to be certain, but usually yes. it is basically renewing your promise to pay on the mortgage but get rid of your other debts.
be aware that if you do so, that making your mortgage payments on time is very important so that you are not foreclosed on and that timely payment on this will not help your credit rating since it is a debt incurred before your bankruptcy. The bank will not be lenient with you or give you extra time from your grace period in your payments. Even one day past your grace period, your mortgage holder can start foreclosing procedures.
Kimberly Britt Profile
Kimberly Britt answered
Only if you filed 13 if you file 7 you lose everything!!! Hope you filed 13 or your out of luck! Note if you filed 13 and choose to sale you make NO $$ on the sale of the home while in bruptcy.
Anonymous Profile
Anonymous answered
Can we still keep our home if we declare ourselves bankrupt? By continuing to pay our mortgage
josse carr Profile
josse carr answered
Rules may be different from state to state or even county to county so ask help from a lawyer.
maher soliman Profile
maher soliman answered
ch 13 and mortgage is current? Its part of the plan approved by the trustee?  I assume some other debt releif was required for filing? Not enough info to work with here,

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