Difficult C13 Foreclosure Situation

[njpack6]

Married couple, both filed for C13 in 4/2009, paid back 100% and received an official discharge in 5/2014.
Husband on note for mortgage and wife is only on mortgage and deed, but not financially responsible and not listed on the promissory note for the mortgage. .
House in foreclosure - approx 11 months since we received certified legal notification. Backlog in our state so maybe another 6 months left before the bankruptcy court stuff starts. House is up for sale, but no buyers. Lots of equity in the house so don't want to just walk away.
Can we file for C13 again to stop the foreclosure? If so, do both husband and wife have to file? Or since the husband is the only one on the promissory note, would it only be him that would need to file to stop the foreclosure? Or would both have to file? Husband has no income, wife has enough income to pay the current mortgage and the arrears through the C13.
I am pretty clear that we are eligible for both to file again since it was paid back in full and enough time has passed.
Any help would be greatly appreciated. Thanks in advance.

[justbroke]

First, the rule is that you could receive a discharge if you file a 2nd Chapter 13 within 2 years of the filing of the first case. So you are good as far as the rules against successive filings.

Since you can file and receive a discharge in a second Chapter 13, you can cure any arrears with that mortgage if you want to do that. You would only need to include your spouse who is legally responsible.

This is a perfect case to run by several Chapter 13 attorneys. Since your spouse would be filing, you could claim all your expenses while contributing to the Chapter 13 to pay the mortgage. You may even be able to use the Chapter 13 to only payoff the arrearage and your attorney fees (alongside the Trustee's commission). That would be perfect, but it would really come down to any disposable monthly income (DMI) when your "contribution" to your own personal debt is subtracted. (Your attorney will use your income, but will back out those parts where you don't contribute to your husband's expenses. This could be your own personal credit cards, car payment, and other things that are solely in your name.)

If you want to actually save the home, this Chapter 13 in your spouse's name could be ideal.

[njpack6]

Thank you justbroke! I was not sure if we both had to file again or not, and living in C13 for 60 months was a nightmare. I did pay every penny back though and the first filing was due to medical bills. I prefer that neither of us file, but in order to save the home with equity because no one is buying it that might be our only option. This mortgage company hates us and their lawyer told me he was going to run us over like a freight train. I didn't think filing again was an option. He kind of scared me so I am going to make an appt with a BK lawyer who can help me, but I didn't want to pay the $300 consultation fee if they were going to say there was nothing we could do. I really appreciate your help and feedback.

[justbroke]

...so I am going to make an appt with a BK lawyer who can help me, but I didn't want to pay the $300 consultation fee if they were going to say there was nothing we could do. I really appreciate your help and feedback.

Ummm, you should be getting free consultations. Why not look up 3-5 more Chapter 13 bankruptcy attorneys in your area. Ask for a free consultation on a Chapter 13.

[njpack6]

OK thank you I will try that! Everyone wants to charge me for the hour that I called! I will try and find someone who has free consultations!

[njpack6]

Thank you for your guidance previously!!!! Husband filed for Chapter 13. Thought we could breath again, but another lawyer....said he thought that the bank could file to remove the stay and still take our home - is there any chance that could happen? I thought that C13 -since it is a repayment - meant we could save the house as long as we didn't miss a trustee payment. We are in NJ. your help is greatly appreciated.

[LadyInTheRed]

Was the other lawyer a BK lawyer?

As long as the plan provides adequately for the payment of arrears during your plan and the ongoing payment of the mortgage, and you make plan payments, the creditor would not be granted relief from stay, even if they were foolish enough to request it.