Temple, TX Bankruptcy Law Firms & Lawyers

The answer depends on your agreement with the provider, the rate of interest, whether it was first imposed by the provider or the collector, and whether if the latter notice of the proposed addition of interest was given. An attorney has to review the facts to give a precise answer.

The following answer applies to California jurisdiction only. I don't know of any local bankruptcy attorney who would condone or suggest to a client that they reaffirm a mortgage debt. It is not in your best interest to do that so the fact that you did not reaffirm is not a bad thing. If at some point you can't afford to make the payments anymore because you have filed and received a discharge in bankruptcy AND because you have NOT reaffirmed the debt you can walk away from the property. The only remedy the creditor(s) have is to take the property, they cannot sue you for any deficiency or attempt to collect from you. The protection of the bankruptcy discharge makes any such collections illegal. A loan modification, should you get one, would not change this result. Refinancing however would because when you refinance you get a new loan and in your case it would be a loan acquired after the bankruptcy had already been filed. Hope this perspective helps. Take care.

As long as you are in bankruptcy there is a co-debtor stay. The lender cannot try to collect from your co-signer. If the court accepted the plan the mortgage company did not need to confirm. If the court approved plan is completed, the debt is paid.