Are you filing for bankruptcy? Check out these 3 common bankruptcy questions that we are often asked. Then, call our Buffalo attorney today.
1. How Can I Reduce My Mortgage During Bankruptcy?
- It is impossible to Reduce your Mortgage in a Chapter 13 Bankruptcy
- If you have a Home Equity Loan, or a second Mortgage, where the value of that and the first Mortgage together exceed the value of the Property, you can file a Pond Motion
- This Motion is brought to the court, and the debtor needs to prove the value of the property
- You will try to avoid the Court reducing the second Mortgage
2. What Assets Can Be Protected During Bankruptcy?
- If you fear that you are going to go into Bankruptcy in the near future, you should sit down with an Attorney to discuss Asset Protection
- You can take on either New York State Exemptions, or Federal Exemptions
- Both of these Exemptions can protect the value of your House
- You want to make sure that your Assets are set up in a way where you can protect them before you file for Divorce
3. What Is Foreclosure and How To Deal With It?
- You may be confronted with a Bank Foreclosure, or an In Rem Proceeding
- In either case, you can avoid the Foreclosure by filing for Chapter 13 Bankruptcy
- If you cannot catch up with your Bank Foreclosure payments over a 3-5 year period, you can attempt to have a re-modification of the loan through the Supreme Court
- The courts generous in imposing on a Bank or Lender to modify a loan, as long as you show that you can make the payments
If you are filing for bankruptcy and have questions, we would be happy to help. After reading these 3 common bankruptcy questions that we are often asked, please contact our Buffalo Bankruptcy Attorney at (716) 833-8455 for a free initial consultation. Let our experience work for you.
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