A chance to wipe out a second mortgage permanently in chapter 13 bankruptcy.
Something that is not well known is the fact that chapter 13 bankruptcy carries with it the power to eliminate second and third mortgages. Homeowners who are underwater on their first mortgage (loan amount more than home value) can file a chapter 13 bankruptcy case in one of the bankruptcy courts in Oakland, San Francisco, San Jose or Santa Rosa, make all the necessary monthly payments and at the end, get an order from the judge saying that their second mortgage has been eliminated.
In this short video, East Bay bankruptcy attorney James Pixton explains some of the details of lien stripping.
Come in and visit us at our Oakland office right downtown (just two minutes off I-980), and ask us your questions about lien stripping–and anything else about bankruptcy. We are the Bay Area’s friendliest bankruptcy law office!