2007-12-09 08:15:25 · 5 answers · asked by ajewell 1 in Business & Finance ➔ Personal Finance
You need to talk to a bankruptcy attorney, but you don't need to be a homeowner to file bankruptcy on credit cards because when you file bankruptcy you file on everything regardless of what property you own.
If you file bankruptcy and have a house, whether you lose your house depends on a few factors:
1. Amount of Equity on the Home
2. Your ownership interest versus ownership interest of anyone else on the house
3. Exemption on the house.
If there is no equity available after taking into account debt and exemptions on the house, AND you are current on payments, you get to keep your house. If you are behind on the house, OR have lots of equity, say goodbye to your house unless you file a chapter 13 (and successfully make all payments).
If you have judgments against you by credit card companies then you may have liens on your house, in which case you will need your attorney to get those liens avoided if you file bankruptcy so you can emerge from the bankruptcy with your house subject only to the debts related to the house (mortgage, HELOC, etc).
2007-12-10 19:21:36 · answer #1 · answered by Lesley 5 · 0⤊ 0⤋
If you need to file bankruptcy you can't pick and choose which debts you cannot pay. You have to declare all your debts, including a home loan. But before you make any move, please explore all the alternatives. If you are a homeowner, and you have a regular income, and you can keep up the payments on your mortgage, there may be ways you could consolidate your credit card debt and avoid bankruptcy.
If you absolutely must file bankruptcy then please, please consult an attorney before you make any move. The new bankruptcy laws make it very difficult to file bankruptcy by yourself and if you make any mistakes you can get yourself into legal trouble. An initial consultation with a bankruptcy lawyer is usually free and they will put you on the right path.
Check out this website which may answer your question and which has a load of useful information and links. I hope this helps.
2007-12-10 10:09:20 · answer #2 · answered by Anonymous · 0⤊ 0⤋
1. You should talk to an attorney.
2. The idea of bankruptcy is to help people who can't pay all their bills. The court and the credit card companies will want to know why you can pay your mortgage but not your credit cards. The credit card companies will want to be treated the same as the mortgage company, that is, they will want to be paid in full or divide up what you have fairly among everyone who has loaned you money.
I suggest that you reduce your spending, and try to work out a payment plan with the credit card companies.
2007-12-09 08:20:36 · answer #3 · answered by hottotrot1_usa 7 · 1⤊ 1⤋
99.999% of the time, you get to keep your primary residence in a personal bankruptcy.
Yes, speak with an attorney about it. Also, if you have accepted (as many people did) a credit card to use against the equity in your home, the amount you have used on that card will reduce the equity in your home and your mortgage payments may increase. Double check with your mortgage holder if you have done this and the loan is still outstanding.
2007-12-09 08:46:13 · answer #4 · answered by G N A 6 · 0⤊ 1⤋
Yes you can. It depends on your income vs your debt ratio. Find a local bankruptcy lawyer and consult with them. Good Luck.
2007-12-09 10:06:00 · answer #5 · answered by ladyt 2 · 0⤊ 0⤋