Riverside Stripping a Second Mortgage Lawyer

Chapter 13 Bankruptcy May Help Cancel a Second Mortgage Lien

In a Chapter 13 Bankruptcy, the bankruptcy court has jurisdiction to determine that a second or third mortgage is unsecured debt. If the second mortgage is determined as unsecured debt, that debt can be discharged as part of the debt in your Chapter 13 plan. At Winfield Payne & Associates, we offer experienced services to homeowners interested in stripping away (or removing) their second mortgages.

Do you need to talk with an attorney about stripping a second mortgage? Please contact Winfield Payne today to arrange a free consultation. Since 1979, Mr. Payne has provided hands-on legal representation by personally preparing and filing all bankruptcy documents.

How Does Chapter 13 Lien Stripping Work?

As your attorney, Mr. Payne provides comprehensive legal services. He is adept at successfully handling Chapter 13 Bankruptcy filings and any related issues. Our firm is dedicated to setting you back on a better financial path. We have helped many people who are struggling with seemingly insurmountable debt save their homes, save their cars and obtain a fresh financial start. We can talk to you about your options and help you understand how lien stripping works.

For example, let's say your home is worth $200,000. You owe $300,000 on your first mortgage, $100,000 on your second mortgage because of a refinance and $60,000 in credit card bills. Your unsecured debt is $160,000, meaning there is no actual property attached to the debt. In Chapter 13 Bankruptcy, unsecured debt can be discharged. The banks cannot collect on the deficiency of the junior mortgage (second mortgage). This is because the junior deed of trust is not backed by property.

Winfield & Associates can explain the complexities of stripping second and third mortgages. We are dedicated to helping you understand your options and guiding you through the bankruptcy process.

If you would like to talk to an attorney about stripping a second mortgage, contact our firm today to arrange your consultation.