Can I discharge a joint mortgage through my Chapter 7 personal bankruptcy? - Bankruptcy Law Questions and Answers- LawQA.com

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Can I discharge a joint mortgage through my Chapter 7 personal bankruptcy?

Can joint mortgage be included in personal bankruptcy?

GARCIA & GONZALES, P.C.
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That would be a yes.

Answer Applies to: Colorado
Replied: 5/18/2015

Answer By Janet Lawson
Janet A. Lawson Bankruptcy Attorney
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Your mortgage MUST be included. The law requires you to list all of debts. If you want to keep the property you must keep paying because the lien survives the bankruptcy. If there is a foreclosure later you will not be responsible for any deficiency because of the bankruptcy. If you want to refinance later, you will have to do it with a new lender (and with that will come personal responsibility for the payments).

Answer Applies to: California
Replied: 5/16/2015

Answer By Dorothy G Bunce
A Fresh Start
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Sure, but remember that the joint signer on the mortgage will still owe the debt and the property will also owe the debt. If the payment is not made, there will still be a foreclosure.

Answer Applies to: Nevada
Replied: 5/16/2015

Answer By Darren Aronow
The Law Office of Darren Aronow, PC
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Yes but if you are the only one filing only you are discharged of the obligation of the debt. The other is liable for the entire amount unless that person is also filing bankrupty

Answer Applies to: New York
Replied: 5/16/2015

Tokarska Law Center
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All debt the debtor owes must be listed in the bankruptcy, regardless if the debt is joint or not. Discharge means that the creditor cannot go after the debtor to collect. Works well in an unsecured debt situation. In a secured debt situation, such as a mortgage or car loan, while the debt may be discharged as to the debtor (can't sue you to collect for example) the lender retains the right to foreclose for non-payment. There are some exceptions to this such as if the lien is an involuntary one or if you quality to do a lien strip, available in a chapter 13, not chapter 7 in most parts of US.

Answer Applies to: California
Replied: 5/15/2015

The Schreiber Law Firm
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Each person on the loan secured by a mortgage is liable for the debt. There is northing which prevents one of the joint debtors from filing a bankruptcy petition to discharge their potion of the debt. Note through that if one of these individuals receives a bankruptcy discharge, only that person's liability is discharged.

Answer Applies to: California
Replied: 5/15/2015

Answer By Debby Bowinski

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Your own personal liability for a joint debt will be discharged in your own individual bankruptcy filing. Your filing will not, however, protect the joint borrower from collection efforts because they will remain obligated to repay the loan unless they also file for bankruptcy relief.

Answer Applies to: Colorado
Replied: 5/15/2015

Answer By Ronald K. Nims

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First, mortgages have two parts 1. you're personally liable to make the payments and 2. the lender has a lien on the house to secure the debt. Filing bankruptcy will discharge your obligation to make the payments, it WILL NOT discharge the lien on the house. Since only you are filing bankruptcy, it won't discharge your spouse's personal obligation to make the payments.

Answer Applies to: Ohio
Replied: 5/15/2015


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Your own personal obligation on the mortgage note can be discharged in a Ch. 7. The mortgage itself, however, retains the same force it had before the discharge. In other words, they can't force you to pay money, but they can take your real estate unless you work something out with the lender. Good Luck.

Answer Applies to: Wisconsin
Replied: 5/15/2015

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