Are both parties that are on the loan required to reaffirm when one person files bankruptcy? - Bankruptcy Law Questions and Answers- LawQA.com

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Are both parties that are on the loan required to reaffirm when one person files bankruptcy?

I own a home with an ex. He filed bankruptcy and I did not. We decided to reaffirm on the mortgage. I found out from the mortgage company that the only paperwork for reaffirming on the house was the portion s I signed.

Answer By Janet Lawson
Janet A. Lawson Bankruptcy Attorney
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That means you remain liable and he does not. I'm not sure what state you live in. In California purchase money mortgages are "non-recourse loans" meaning the creditor can not come after you if you default. Other states are different.

Answer Applies to: California
Replied: 3/2/2015

GARCIA & GONZALES, P.C.
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The answer to your question is "No".

Answer Applies to: Colorado
Replied: 3/2/2015


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Only the person who filed the bankruptcy petition need execute a reaffirmation agreement. Any other co-owners continue to be responsible for the debt.

Answer Applies to: Minnesota
Replied: 2/27/2015

Answer By Ronald K. Nims

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No, only the person in bankruptcy can reaffirm. Bankruptcy removes the personal liability to pay on the loan from the person who filed the bankruptcy. The lien on the house remains intact. Reaffirming means that the person in bankruptcy agrees to become again personally liable on the loan. The cosigner who isn't in bankruptcy remains personally liable on the loan. So reaffirming doesn't affect anything. Since it would be a meaningless gesture, there is no provision in the bankruptcy code for the non-filing spouse to reaffirm. Sometimes, there is a modification of the terms of the loan together with a reaffirmation. The non-filing spouse would have to sign the modification

Answer Applies to: Ohio
Replied: 2/27/2015

Answer By Ryan Beach
The Law Offices of Ryan F. Beach, PLLC
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The purpose of reaffirming on a loan is to make the debt that is subject to the discharge survive the discharge. When only one person is filing bankruptcy and there is a joint debt, only the filing party's liability is subject to the discharge. So, there is no need for a non-filing party to sign a reaffirmation agreement. Since you did not file bankruptcy, you are fully liable on the loan. That is true whether or not the loan was reaffirmed by your ex-spouse. If your ex-husband did not reaffirm on the loan, then his liability was discharged. If he did reaffirm on the loan, then you are both fully liable on the loan. To be safe, you should take the agreement that you signed to a bankruptcy attorney for review. There may be facts or circumstances that make what I stated above not true.

Answer Applies to: Michigan
Replied: 2/27/2015

Answer By Mark O. Grater
The Law Office of M Grater LLC
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In Connecticut, no one is required to reaffirm. Why would anyone ever reaffirm?

Answer Applies to: Connecticut
Replied: 2/27/2015

Answer By Dorothy G Bunce
A Fresh Start
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You made a big mistake reaffirming a mortgage. Doing this is a scam perpetrated by unscrupulous mortgage companies.

Answer Applies to: Nevada
Replied: 2/27/2015

Answer By Daniel J Winter
Law Offices of Daniel J Winter
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This doesn't make sense for many reasons. You can't reaffirm if you didn't file the bankruptcy. And, it rarely makes sense to sign a reaffirmation for a mortgage. Talk to your lawyer, and, if you don't have one, get one asap.

Answer Applies to: Illinois
Replied: 2/27/2015


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I think you are saying that you, the non-filer in bankruptcy, reaffirmed on the mortgage. But that seems kind of meaningless: if you did not file bankruptcy, you are still as liable on the mortgage debt after the ex's bankruptcy as you were before. It seems that he did not reaffirm the debt. However, if the lender should go after you for any deficiency, if the debt had been assigned to him in the divorce, he has not discharged that debt, regardless of the bankruptcy. You should probably consult an experienced bankruptcy lawyer in your area who will review all the papers in the case, and advise you about your rights and your obligations. Good Luck.

Answer Applies to: Wisconsin
Replied: 2/27/2015

Answer By Darren Aronow
The Law Office of Darren Aronow, PC
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He would be reaffirming the mortgage because he was the person filing the bankruptcy.

Answer Applies to: New York
Replied: 2/27/2015

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