Eliminating Second Mortgage Payments

If you are like many Americans right now, you are consideringbankruptcy as an option to save your home from foreclosure. If that is the case, you may need to eliminate second mortgage payments in order to accomplish this.

This can be a godsend for people who are already having trouble paying off their first mortgage. When you speak with a bankruptcy attorney, you will learn important tips about saving your home. For example, if the value of your home is less than what is owed on your mortgages, you may be able to eradicate your second and even third mortgages. Here is an example: if your home is worth $300,000 but your first mortgage has a balance of $325,000, and your second mortgage is for $50,000, the second mortgage is not actually secured with any value.

Should you file under Chapter 13 bankruptcy, by law, the second mortgage will be removed. In order to get the second mortgage removed, you will need to file a bankruptcy lawsuit against the holder of the mortgage. However, you should be warned that some companies will fight this lawsuit, claiming that your home is worth more than what you state it is.

If you're hoping to eliminate a second mortgage, get legal advice today by contacting our firm and working with a Chicago bankruptcy attorney.