The Bankruptcy Code prohibits the reduction of a mortgage on a person's residence but allows outright elimination of a second mortgage in many cases
Walnut Creek, CA (PRWEB) April 27, 2012
Michael Primus, a Contra Costa County bankruptcy attorney since 1992, features free in-office consultations for those in need. Today he is highlighting the effect of Chapter 13 on mortgages.
“The Bankruptcy Code prohibits the reduction of a mortgage on a person's residence but allows outright elimination of a second mortgage in many cases. Chapter 13 is a reorganization that can allow a person or couple to keep their home and remove a second mortgage or home equity line of credit,” attorney Michael Primus said.
Chapter 13 bankruptcy requires the homeowner to:
1. Document financial hardship
2. Show the value of the home is less than what is owed on the first mortgage
3. Complete a court-approved plan to pay a portion of their debts.
The exact amount to be paid through a court-approved plan is determined by several factors and requires the advice of a lawyer. Unlike a mortgage modification, Chapter 13 does not require the lender's consent.
“We help people file for bankruptcy under the bankruptcy code and serve as a debt-relief agency,” Primus said. “We also provide flexible payment options. Divorced? Unemployed? Overwhelmed? Determining if bankruptcy is right for you requires specific guidance from an attorney because each situation is different. Come in for a free consultation to discuss your situation.”
For more information about any of Walnut Creek bankruptcy lawyer Michael Primus’ services, call 925-948-8874, view him on the web at http://www.michaelprimus.com, or visit one of his three office locations in Walnut Creek, Antioch or Hercules.
About Michael Primus, Attorney at Law
Anyone considering bankruptcy should call the Law Offices of Michael J. Primus for a private counseling session. Bankruptcy allows honest but unlucky individuals or couples to have their debts reduced or forgiven entirely. There are several kinds of bankruptcy cases but Chapter 13 and Chapter 7 bankruptcy are the most common. Michael Primus has 19 years of experience as a bankruptcy lawyer.