Bankruptcy and the elimination of second mortgage?
I recently attended my Ch 13 Bankruptcy meeting of creditors. Once there, you have to sit through other people file review with the administrator. I heard a couple asked if his lawyer was to present a proposal for "adversary" or "dislike" or something (not paying complete attention to the beginning). As the trustee is then referred to his credit this would remove home equity credit loan that was blocked by his house, since it has more value of the house (now I'm paying attention). I discussed this with my lawyer and he said it is "possible" but there are additional charges for filing a motion (in thousands of dollars) and even more if the case has to go really test ($ 10s of thousands). Of course, I'm skeptical because my lawyer never informed me of this option before. I am wandering if anyone else has some knowledge of this and what was the actual term that I can do a little more research. Thank you.
No. You are correct that the loan is guaranteed by the house. The judge can not make it go. There is a bill in Congress today that will allow judges to "cram down" a mortgage or remove it entirely. This project law was not approved. So now the judge has no power over a home loan ..
Part Two- Bankruptcy: Keeping your home and the effect on Mortgages
Remember to visit the credit counseling service. Someone told me that it is better than trying to go to bankruptcy. Can we do this even if they have a mortgage? What types of credit and loans that can produce? What are the advantages and disadvantages?
Yes you can. Try credit counseling service consumer. The services are free and work with creditors to reduce your monthly payments and interest rates. For several years I was debt free in 36 months. The disadvantage is that you give up all your credit cards, but if you are in financial difficulties, which do not need anyway. The other thing that will happen is that your accounts will appear on your credit card Bureau as "Managed by a credit counselor." Once more, not something big.
I'm looking to get out of debt, but my interest rates are quite high (29% ish. I've had these cards since I was 18) who have good credit a whole, but when I try to get a consolidation loan, say I have that much credit. Part of this I do not understand why because I can not get a consolidation loan debt consolidation. It's not as if I had to add more debt … Anyway I looked into the programs debt relief a couple. I found a couple that I think are good and a couple with the stay as far away from the letter of all scams parts (Ex Credit Solutions) So I was wondering are there any legitimate companies that will help me or I can guarantee a consolidation loan. Any help would be appreciated. Debt is starting to stress me out to a point where I thought of suicide … but then I realize I'm not that dumb.
counseling Credit really ruin your credit … here's what you do … 1. Contact your credit card companies and tell them to let him use their services if they do not lower their interest rates ….. 2. Be prepared to follow through with their threat .. If you have a CC that has a balance sufficient to pay quite low out in a month, collect money, then call them, and if they refuse to reduce the rate of … Offer your banking information for a one time transfer .. and tell them you are closing your account and wish to pay your balance off, and never want to hear anything else from this company … NEVER. Watch how quickly your interest rate goes down when you do well in a threat …. : O )….
Small Business Debt Consolidation Loans – Avoid Bankruptcy
If I file for Bankruptcy, will it effect me when I apply for future student loans?
I have really BAD credit that there is NO way to repair it unless I file for bankruptcy… I’m currently a student and have several more years of school left. I am up to date on my current student loans right now and I’m so afraid of filing for bankruptcy because I don’t want it to effect future student loans.
It will stop you from getting any more loans, and most student loans are not dischargeable in bankruptcy anyway.
Would a bankruptcy impair my ability to get student loans?
I had to drop out of college in my senior year because of financial problems. Now I have student loans coming due and also some credit card bills. I’m just barely managing to make ends meet. Sometimes I have to buy groceries on credit because the money just isn’t there. I’m considering filing bankruptcy to at least get rid of the credit card bills.
My fear is this : If I have a bankruptcy, will I be able to get loans for college? I desperately want to go back to school.
Any advice would be greatly appreciated.
Bankruptcy will NOT stop you from getting Stafford loans. It is not based on your credit because they are guaranteed by the government. You cannot however have student loans that are currently in default. If you student loans are current then you should be able to get a Stafford loan to complete your schooling. My credit is horrible because of a divorce & I am currently in the process of filing bankruptcy but I was able to get approved for a subsidized and an unsubsidized student loan so I could return to school.
