Lose the HELOC
My wife and I have decided that our home is so far underwater that it make no sense for us to keep it. We have lost all of our equity, the HELOC lender has lost their equity position and the 1st mortgage holder is 30% underwater as well. We live in California and the HELOC is a recourse loan. We need to make sure we get free from it. My question is can a chapter 7 BK get ride of it and protect us from a lender suit or do we have to go Chapter 13? The BK attorney say chapter 7 will do it but all the posts I read say only the Chapter 13 will do it. HELP!
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If you are walking on the home, chapter 7 will do it.
Only if you are staying in the home would you need a chapter 13.filed chapter 13..confirmed...converted to chapter 7...DISCHARGED! -
i agree with catleg...absolutely...we were in our home for 33 years it was wasn't underwater...it sank to the bottom and was stuck in the lowest deepest part of the sea stuck in the sand....
out we went...although tears, fears and guilt...looking back it was absolutely the BEST decision we ever made... ever. memories are in your heart and not your house!
do what you know is right for you and your family. for us, giving up the house was the best situation.8/4/2008
MAKE SURE AND VISIT Tobee's Blogs! http://www.bkforum.com/blog.php?32727-tobee43 and all are welcome to bk forum's Florida State Questions and Answers on BK http://www.bkforum.com/group.php?groupid=9Comment
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Was just thinking, everywhere you read how many first loans are underwater with the huge drop in RE values....
Think how many second loans must be underwater...as a % has to be double or triple the number of firsts.Comment
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