Means Test vs home

[enginerd]

I'm planning on a chapter 7... to get rid of credit cards as well as a large 2nd mortgage on my home. Since I will lose the house, do I still use the payments for the 1st and 2nd mortgage on the means test? Where on the test do I put the info for the 2nd mortgage?

[Tbornetun]

If you have been making the payments up till recently you would include them on the means. They will be added in with the amount of your first mortgage.

[biotechsolution]

I'm planning on a chapter 7... to get rid of credit cards as well as a large 2nd mortgage on my home. Since I will lose the house, do I still use the payments for the 1st and 2nd mortgage on the means test? Where on the test do I put the info for the 2nd mortgage?

You can't get rid of a second mortgage in a Chapter 7. to strip the 2nd you would have to file a chapter 13. the lien from the 2nd will pass through the discharge un-affected, which means they could still foreclose.

[enginerd]

I'm planning on including the 1st and 2nd mortgage in the chapter 7 filing so that I can get rid of it... and of course, lose the house in the process. I can't justify going thru 5 years of payments and come out the other side with a 50k equity loan.

[PdxDavid]

I'm planning on a chapter 7... to get rid of credit cards as well as a large 2nd mortgage on my home. Since I will lose the house, do I still use the payments for the 1st and 2nd mortgage on the means test? Where on the test do I put the info for the 2nd mortgage?

Here is the US Trustee Program .gov site (it must be real) with what they call, "Bankruptcy allowable living expenses". Go down the page a bit until you see "Local Standards". That gives you mortgage/rent and utility figures depending on your family size and county.

I believe if yours is actually more you can use those figures if you have documentation to back it up. I have seen cases mentioned on here where you still use your current numbers even if you are giving the house up because without the BK release from debt those are your expenses.

[PdxDavid]

Here is the US Trustee Program .gov site (it must be real) with what they call, "Bankruptcy allowable living expenses". Go down the page a bit until you see "Local Standards". That gives you mortgage/rent and utility figures depending on your family size and county.

I believe if yours is actually more you can use those figures if you have documentation to back it up. I have seen cases mentioned on here where you still use your current numbers even if you are giving the house up because without the BK release from debt those are your expenses.

Forgot to include link

http://www.usdoj.gov/ust/eo/bapcpa/2...anstesting.htm

[RGMLM]

You can't get rid of a second mortgage in a Chapter 7. to strip the 2nd you would have to file a chapter 13. the lien from the 2nd will pass through the discharge un-affected, which means they could still foreclose.

In a Chapter 7 you can get rid of the promisary note, but not the lien