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What does it mean to reaffirm a mortgage and how does it impact the borrower's financial obligations?
Reaffirming a mortgage means agreeing to continue making payments on the loan after a bankruptcy. By reaffirming, the borrower remains responsible for the debt, keeping the house but also the financial obligation to repay the loan. This can impact the borrower's financial obligations by ensuring they must continue making payments on the mortgage, even if they have filed for bankruptcy.
What else can I help you with?
With a Ch.7 can you reaffirm your first mortgage but have your second mortgage dismissed?
NO. The second mortgage is still secured by the property. Therefore it has to be reaffirmed or paid according to the stipulations of the lender.
If you continue to make payments will bank continue to pay taxes and insurance from escrow if you do not reaffirm your mortgage after chapter 7 bankruptcy?
If you continue making the regular mortgage payments, including the escrow amounts, you are reaffirming the debt. It would be better to formally file a reaffirmation agreement that is approved by the court.
What is a reaffirm?
Reaffirmation is an agreement between the creditor and the debtor that the debtor will keep an asset after BK, but the debtor must still pay as required. Example: You file a Chapter 7 and have a mortgage on your house. It is the only thing that is current and up to date in payments. The rest of your debt is unsecured credit cards. You may "reaffirm" your mortgage. This means you would keep the home, and you would still be responsible for paying the loan as per the original agreement and the unsecured debts are discharged. Note: A judge can decline a reaffirmation request if your income does not look as if you can maintain the payment.
Can you file bankruptcy on a second mortgage but not on the original one so you can keep your house?
== == NO. Bankruptcy applies to ALL your financial dealings, without exception. You cannot pick and choose which things will be included. Bankruptcy means that you are SO FAR IN DEBT that you cannot pay your creditors, and you are asking the courts to help you to make an agreement with the creditors to accept PARTIAL PATMENT of the debts you owe. One of the basic requirements in a personal bankruptcy is the forced sale of any property, to pay off debts you owe. The house will have to go. It is your penalty for not being more careful about your debts, and re-paying them on time. : : by MONTSAME: Actually, the above answer is completely inaccurate. Bankruptcy doesn't necessary have to apply to ALL of your assets and liabilities. You CAN choose and pick which obligations you would like to fulfill (reaffirm the debt). : To answer the question, the second mortgage can be fully or partially discharged depending on the home value and the size of your first mortgage. Though it is complicated, and in some states they can apparently come after you even after the bankruptcy is complete.
If the mortgage on your home was not reaffirmed after bankruptcy can the mortgage holder report on your credit report?
I can only speak from my own experience. It does indeed appear on our credit report and also states that the mortgage company is filing a claim against us--even though we did not reaffirm the loan. Completely wrong and I've disputed it many times with ALL the credit bureaus but they will not remove it. I'm not sure if there's a government organization that can help force the mortgage company to report correctly to credit bureaus or one that can force the credit bureaus to actually DO an investigation when you dipute it. No win situation, I'm afraid
Can you file chapter 7 in Florida and re affirm your mortgage?
Yes, but its never wise to reaffirm a mortgage. Even if you dont reaffirm, as long as you keep making the mortgage payments, the bank wont foreclose.
Do you have to pay taxes and homeowners insurance if you did not reaffirm your mortgage?
yes you do obamas new rule
With a Ch.7 can you reaffirm your first mortgage but have your second mortgage dismissed?
NO. The second mortgage is still secured by the property. Therefore it has to be reaffirmed or paid according to the stipulations of the lender.
Can you keep your home after filing bankruptcy if you have a second mortgage if you want to reaffirm with your first mortgage?
Whether or not a home is forfeited depends on the state or federal homestead exemption, and if the lender is willing to reaffirm the loan agreement. Second mortgages are considered secured debt and have the same legal standing as first mortgages.
Can you reaffirm your first mortgage without reaffirming your second mortgage after filing bankruptcy?
You should file a 'proof of claim" with the bankruptcy court and take you place in line to be paid...whcih will likely be a few pennies on the dollar.
Is it possible to keep your house when a chapter 13 is dismissed if you pay all the arrearages and keep mortgage payments current?
That depends entirely on the lending institution. In most cases the lender will choose to reaffirm the mortgage agreement with the borrower rather than go through the foreclosure process if they are convinced the borrower's financial situation is stable. The best option is for the borrower to contact the lender directly followed up by written correspondence and for the borrower to be completely honest about his or her current financial situation.
What happens if the second mortgage lender hasn't contacted you on a reaffirmation of a loan after a chapter 7?
Nothing happens, the lien still exists- and the 2nd lender can still foreclose if you stoip making payments. The bigger worry is why you would WANT to reaffirm a mortgage debt!
Can you still have a mortgage and car payments with bankruptcy?
depending on your situation, you could request to reaffirm those debts if the creditor is willing to accept and if you will be able to afford those debts...augusta, ga
How can you reaffirm a mortgage that was mistakenly included in a Chap 7 after the bk has been discharged?
You would need to re-open your bk case and hope the court will allow the entry of debt reaffirmation.
How do you reaffirm your home if your ch 7 was discharged before you could reaffirm?
If you mean the c. 7 was dismissed before you got your discharge, you may not have to reaffirm. Everything goes back the way it was before you filed. If you mean you have not received reaffirmation documents from your lawyer or the mortgage company and you have received your discharge, the discharge only applies to the unsecured debts, not the mortgage, and if you signed the "Statement of Intentions" which said you were reaffirming the mortgage, don't worry. You did what you needed to do. It is up to the mortgage company to get you the paperwork, especially if you did not have a lawyer. They may not bother as long as you are making the payments on time. They may be waiting for you to make a late payment or miss a payment, at which point the lack of a reaffirmation agreement may come back to haunt you. This issue depends on your state law regarding the effect of bankruptcies where mortgage contracts provide for automatically bringing the whole balance due forward. Many states prohibit foreclosures in those circumstances, but not all. Talk to a bankruptcy lawyer in your state.
Is surviving spouse responsible for a mortgage that was solely taken out by the deceased spouse?
If the person wishes to keep the residence then he or she will need to reaffirm or assume the loan with the mortgage holder. Real property debts such as homes and vehicles are not treated the same as unsecured debts when it relates to the death of the account/property holder.
If you continue to make payments will bank continue to pay taxes and insurance from escrow if you do not reaffirm your mortgage after chapter 7 bankruptcy?
If you continue making the regular mortgage payments, including the escrow amounts, you are reaffirming the debt. It would be better to formally file a reaffirmation agreement that is approved by the court.
