can home equity line of credit be dischaged if I want to keep my house/reaffirm?

[loditthui]

I have a house and its value worth more than my debt. I also have home equity line of credit and I owe more than my house's value. I am going to file bankruptcy and wonder if I want to keep my house/reaffirm, but I can't afford to pay my debt (home equity line of credit) and I want to get it surrendered and be discharged. Is is possible?

Thanks

[scorpion35]

I have a house and its value worth more than my debt. I also have home equity line of credit and I owe more than my house's value. I am going to file bankruptcy and wonder if I want to keep my house/reaffirm, but I can't afford to pay my debt (home equity line of credit) and I want to get it surrendered and be discharged. Is is possible?

Thanks

i think u can do that in a chapter 13 and only if the house is worth less that the balance of your mortgage

thats what i think but i can be wrong

[SunshineGal]

Scorpian is correct, you'll need to file a chapter 13 and your attorney will have to file a lien strip with the courts. In order for it to work, you need to owe more money on your first mortgage than the value of your home leaving the HELOC 100% unsecured. Your other option is to surrender the home in the BK and be done with it.

[AngelinaCatHub]

Scorpian is correct, you'll need to file a chapter 13 and your attorney will have to file a lien strip with the courts. In order for it to work, you need to owe more money on your first mortgage than the value of your home leaving the HELOC 100% unsecured. Your other option is to surrender the home in the BK and be done with it.

I strongly agree with this. Get a new start. Vacant houses are prolific and I advise to downsize your house and mortgage if you can get one. Contract for Deed by owners finance is very good for those who cannot get a normal mortgage. It allows you to leave "friends" if you cannot pay it, and if you do pay it off, the owner then must supply a warranty deed. 'Hub

[tcreegan]

Hi loditthui,

I am going to file bankruptcy and wonder if I want to keep my house/reaffirm, but I can't afford to pay my debt (home equity line of credit)

....ahhh, easy one here...NO reaffirm. Nyet, Nei, Nahi, Non, Nne, ...sorry got carried away there...don't reaffirm.

and I want to get it surrendered and be discharged. Is is possible? Yes, absolutely. Mark surrender on the statement of intentions, don't sign any papers, stop paying on the mortgage and equity line of credit, live payment free until the foreclosure sale, use the savings to pay for your new place to live, fix the car, dental work, any legit expense

Good luck with this,

Tom in Colo