Sayreville, NJ Bankruptcy Law Firms & Lawyers

It is possible to keep your home after filing bankruptcy, but there are several different ways the home is handled. In a Chapter 7 bankruptcy the mortgage must be kept current to keep the home. A chapter 7 will stop a foreclosure only until the lender can get the automatic stay lifted by the bankruptcy court. If the loan is not current, the lender should have little problem having the stay lifted. In a Chapter 13 bankruptcy the bankruptcy plan can provide for a period of time for the borrower to catch up on the past due mortgage payments and costs in addition to resuming regular payments. It may also be possible in a Chapter 13 bankruptcy through mediation to obtain a mortgage modification that could change the terms, extend the loan or possibly forgive some of the principal of the loan. A bankruptcy attorney could explain these options in greater detail and see if any of these options would work for your friend.

Yes. In bankruptcy, valid noticing to all creditors is required and inadvertently non-noticed parties should be added to the bankruptcy case creditor-list if discovered during the pendency of the case. However, from a practical standpoint and given 9th Circuit (which includes CA) authority that provides for presumptive discharge of otherwise non-contestable debts in a no-asset case notwithstanding lack of notice, then you should be all right, with no need to incur costs to reopen the case and add missing addresses (insofar as you can obtain the addresses). If collection upon the debts in question should occur, provide them with proof of discharge or contact an attorney if the problem persists to consider a "violation of discharge" action. This answer (by San Diego bankruptcy attorney, Asaph Abrams) doesn't address all facts & implications of the question; it's general info, not legal advice to be relied upon. It creates no attorney-client relationship; it may be pertinent to CA and/or its Southern District Bankruptcy Court only, and it's independent of other answers. It may be time sensitive, as in past the "Use by" date: laws and case law change. Hire legal counsel before acting or refraining from bankruptcy/legal action.