Will i see my money after some claims a chapter 13 bankruptcy?

Question

I put a judgement lien on someones property and they filed for a chapter 13 bankruptcy. they're house was suppos to be auctioned on may 23,07. they also owe the bank...will i see my money at all?

Answer 1

You lose out in a priority battle against the bank, so you'll see money out of the sale only if the auction sale proceeds total more than the bank's security interest and the costs of auctioning the property.

Also, bear in mind that Chapter 13 is essentially a debt reorganization plan in which the debtor will be required to make payments over a set period of time, not a straight-line liquidation of assets. So even if you don't see any money out of the sale of the house itself, you may see some recovery out of the repayment plan. Once the repayment plan is approved you will be paid pro rata out of the repayments according to your priority. You won't be repaid 100% of the lien, but you'll at least get something.

Just make sure that you respond to any inquiries from the bankruptcy trustee so that you ensure that your creditor status doesn't fall through the cracks. It's very doubtful that would happen since you have secured creditor status, but you never know so it pays to be vigilant.

Answer 2

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RE Will i see my money after some claims a chapter 13 bankruptcy?

I put a judgement lien on someones property and they filed for a chapter 13 bankruptcy. they're house was suppos to be auctioned on may 23,07. they also owe the bank...will i see my money at all?

Answer 3

Depends on how much is owed to the bank. If the bank mortgage exceeds the value of the property, your chances are slim. First mortgages nearly always take precedence over judgment liens in prioritization of payout. In some states, a mechanic's or materialman's lien may take precedence, but if it's a simple judgment lien, I'd venture you aren't going to see anything.

Answer 4

Most likely they listed you as a creditor. You should've gotten a notice and told what to do. Otherwise, contact the court to see if you were included.

Answer 5

because he crammed financial ruin 11 instead of financial ruin 7 i think they'd. he's working on paying his debts off. His ultimate guess is to touch the felony expert that filed for him and that they'd have the skill to furnish him the final felony propose.