mortgage question

[paulf8]

Can i use my second mortgage to qualify for chapter 7 ,I'm current on my first and a year behind on the second.I plan on keeping the house and negotiating a settlement once i get threw bk

[southernbelle]

Since the 2nd is secured debt and you want to keep it you will have to bring the 2nd current to have it survive chapter 7. If both mortgages are current and you file, the 2nd will count as a justifiable debt on your chapter 7 BK. I don't know how willing they will be to negotiate with you after BK but you can always try.

In my case the debt owed on my house (1st and 2nd mortgage plus 2 additional cross coll loans) actually helped me to keep my house since the total debt exceeded it's value and made it obvious that my home wasn't worth my TT's time.