Second Mortgages In Chapter 13 Bankruptcy

A Chapter 13 bankruptcy helps many people get their debt situation under control by giving them three to five years to pay off certain types of debt. Chapter 13 is also a legal tool that can eliminate second mortgages and other junior liens on a residence.

If you are considering filing for Chapter 13 bankruptcy, the attorneys at The Rose Law Office are here to help you explore your options. We have extensive experience handling bankruptcy cases for clients throughout Cincinnati and surrounding Ohio communities.

Are You Eligible For Chapter 13 Lien Stripping?

In order to be eligible for Chapter 13 lien stripping, the balance of your first mortgage must be greater than the current market value of your home.

Consider the following example: A home's market value is $300,000. The homeowner has a first mortgage for $350,000 and a second mortgage for $75,000. Since the home is valued at less than the balance of the first mortgage, the second mortgage balance may be treated as a nonpriority, unsecured debt, and is eligible for discharge, leaving the homeowner with a more manageable debt situation.

Our attorneys will work with you personally to examine your debt situation and help you determine if a Chapter 13 bankruptcy is right for you.

Contact An Experienced Cincinnati Bankruptcy Attorney

If you have questions regarding Chapter 13 bankruptcy and lien stripping, The Rose Law Office can help you. Contact us today online or by telephone at 513-621-7902 to arrange a consultation with an experienced bankruptcy lawyer. Our office is conveniently located on the corner of 7th and Vine in downtown Cincinnati, and we have an additional location with evening hours on Cheviot Road near Colerain.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.