Can one go bankrupt and keep the house?

[littlephoenix]

Can one go bankrupt and keep the house? What if the mortgage is in the arrears? If the mortgage is in both the husband and wife name, do both have to go bankrupt to avoid collections?

[keepmine]

Can one go bankrupt and keep the house? What if the mortgage is in the arrears? If the mortgage is in both the husband and wife name, do both have to go bankrupt to avoid collections?

If you file a Chapter 7, you must be current or have made a rrangements to get current-usually, before the 341 meeting.
Ina Chapter 13, any arreage can be put into the 60 month repayment plan and must be paid at 100%. Also, you must stay current on your mortgage.
And yes, both joint mortgage holders are responsible for any deficiency balance.

[Granny]

Someone correct me if I am wrong, but only one of you needs to file a CH13 to save the house and pay the arrears through the plan.

That's the way we did it, so that if we get into trouble again, the second spouse can file later and get another automatic stay from foreclosure.

[keepmine]

Someone correct me if I am wrong, but only one of you needs to file a CH13 to save the house and pay the arrears through the plan.

That's the way we did it, so that if we get into trouble again, the second spouse can file later and get another automatic stay from foreclosure.

That's agood point. As long as the arreage is included in the plan, the joint mortgage holder is protected by the stay.

[clarkmommy]

Yes, you can go bankrupt and keep your house. It is best to not be in arrears when you file, though. We were current on our mortgage, bank account was frozen (Discover, grrrr) so we ended up being late when we filed but as soon as we did file and the money was freed up we were able to catch the mortgage up. The mortgage company did hire a foreclosure attorney, however as soon as the mortgage was current and remained current they did not file for relief of stay or anything of that sort. We ended up having to pay their attorney fees for that attorney and some additional fees totaling roughly 400 but since then we have been fine. We are 15 months out of filing, almost a year out of discharge and still in our house. We were planning on reaffirming the debt, however do to a cross in paper work the reaff didn't get filed in time....however, the mortgage company told us they didn't like to do them and as long as the billed was paid they were happy......the exact quote was something along the lines of We are not in the business or foreclosing on home....we don't want your home. I am not sure about the husband/wife thing since I am on our deed but not our mortgage.

[Granny]

I am not sure about the husband/wife thing since I am on our deed but not our mortgage.

We have the same thing but in reverse. I am on the mortgage alone and hubby is only on the deed. But we were told that because he is on the deed, if need be, he can file later to stop a foreclosure.