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If you already have filed for chapter 7 found out that your mortgage cannot be discharged. At the hearing can you ask to do a deed in lieu of foreclosure or is it to late?
Wiki User
∙ 15y ago
You thought your mortgage would be discharged?
And I guess you would just have then owned the house free and clear.
You really are kind of far along to be asking these questions don't you think?
even if it can be done and they agree, sure you want a to do a "deed in lieu of foreclosure" as part of your bankruptcy?
Wow....what a surorise you aren't getting the result you expected...and really no surprise your in bankruptcy --meaning you asked the court to protect you from all those who trusted you and the promises you've decided to break to them and loss and trouble to cause.
Really...why not get expert personalized help...your own counsel to explain it?
Wiki User
∙ 15y ago
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Is foreclosure done quicker if home has been discharged in bankruptcy?
A home is not discharged in bankruptcy. The mortgage(s) and home equity loans, lines of credit, etc., are discharged, but you have to abandon the real estate in the bankruptcy. That means the mortgagee can go ahead with a foreclosure if there was none before the filing, once the Chapter 7 is closed. Chances are the mortgagee would ask for relief from stay to go ahead with the foreclosure. The trustee may get any excess from the sale, unless it was exempted.
Do you still owe if chapter 7 discharged second mortgage?
If it was discharged, then you don't owe it anymore. However, you can't just assume that any particular debt was discharged by the bankruptcy, it has to be specifically listed. In particular, you probably cannot keep your house AND get your second mortgage discharged.
Will foreclosure hit credit report after it was discharged at chapter 7 bankruptcy?
Yes, it will show as included in bankruptcy and also foreclosure. You get a double whammy. Sorry probably not what you wanted to hear.
If a chapter 7 bankruptcy has not been discharged is it a law stating a lender cannot offer you a home mortgage or would they just be crazy to do so?
Ch7 Bk must be discharged prior to acquiring a mortgage.
What if your daughter bought a home with her grandmother as a co-signer she now faces foreclosure should she file chapter 13 bankruptcy how does all this effect her grandmother?
If the house is headed for foreclosure, anyone on the title and the mortgage is facing foreclosure, not just one of the owners. If the daughter was responsible for the mortgage payments by agreement with her grandmother, and got behind in payments, she may be able to pull the mortgage out of foreclosure by a Chapter 13, if she can afford the plan payments and the current mortgage payments. If the Chapter 13 cannot succeed without financial input from the grandmother, it will be up to her to let it go forward and lose the house. Either way, the fact that the house is in foreclosure will affect her credit score.
Mortgage lates after filing chapter 7 Can a mortgage company report lates after filing of a chapter 7 and before a discharge?
Yes. That reporting to a credit agency of an item of fact, is not an attempt to collect the debt. Your not expecting you mortgage debt to be discharged are you?
How does a foreclosure work if it is due to an agreed order with the mortgage company while in Chapter 13?
The foreclosure will simply continue as it normally would have if the bankruptcy had not been filed, except for any special provision made in the order allowing the foreclosure to cotinue.
If mortgage was listed by pro se Chapter 7 debtor as secured debt with intent to reaffirm but the bank never presented reaffirmation agreement can the bank foreclose once the bankruptcy is discharged?
Yes. Or the lender could choose to file for the automatic stay to be lifted and if granted proceed with foreclosure action before the BK is discharged. _________________________________________ If a person is current on the payments, and stays current, there is NO violation of the mortgage contract, and the lender would not foreclose. Miss a payment or two, and it will be treated as any other delinquent account. But until then, the status quo is maintained, the Chapter 7 not relevant.
Is there some type of protection against paying a deficiency judgment under chapter 7 bankruptcy law if you filed chapter 7 before the foreclosure in Illinois?
If you reaffirmed the mortgage in the c. 7, which went to discharge and was closed, no, other than possibly filing a c. 13 to arrange to pay the amount due. If the mortgage company received relief from stay while you were in the c. 7, the deficiency was discharged with the other unsecured debts. If you had a bankruptcy lawyer, ask him or her.
CAN I QUALIFAY FOR A HOUSE LOAN IF I HAD CHAPTER 13?
Yes it is possible to qualify for a mortgage despite a Chapter 13 bankruptcy filing. In a Chapter 13 filing the debtor agrees to a court structured debt repayment schedule. Typically, after making payments on time to creditors as required by the bankruptcy agreement an individual can be discharged by the Court from the Chapter 13 proceeding. Once discharged from bankruptcy an individual can apply for a mortgage. Each bank has different rules about how soon someone can apply for a mortgage after a bankruptcy. Most people coming out of bankruptcy apply for an FHA mortgage loan since this program has the most lenient underwriting standards.
Does bankruptcy clear second mortgage loans?
Second mortgages can be discharged only in a Chapter 13 and only if there is no equity in the real estate for the loan to attach to.
If your wife is in a Chapter 13 plan and is the borrower on the mortgage can the husband apply for a refinance loan to pay off the first mortgage?
Yes! The only thing is the chapter 13 will have to be discharged at closing. Depending on how long she has been in the bankruptcy, this may not be a big hassle. It is impossible to refinance a home in a chapter 13 without the BK being discharged. For more information, please feel free to email me at Travis.Fleury@gmail.com. I work for one of the largest direct private mortgage lenders in the country, i'd be glad to help answer any other questions.
