Phoenix Lien Stripping Lawyers

Glendale Attorneys: Removing Second Mortgages in Bankruptcy

Many homeowners took out a second mortgage on their house to ease the payments associated with rising interest rates. Following the mortgage meltdown throughout the nation, however, these same homeowners find themselves owing more on their house than what it is actually worth.

If you are struggling with paying your mortgages and are facing foreclosure, there is hope. Chapter 13 bankruptcy provides debtors with the opportunity to remove a second home mortgage (lien stripping) if their house is worth less than the original mortgage.

How Does Lien Stripping Work?

Lien stripping literally removes a second mortgage. For example, let us say you took out an original mortgage on your home for $250,000 and later took out a second mortgage for $20,000. When the housing market crashed, your home's value dropped to $200,000. If you file a Chapter 13 bankruptcy, the second mortgage of $20,000 will be removed because it is unsecured and all payments toward debt will go toward paying the first lender.

Experienced Phoenix Lien Stripping Attorneys

The specifics of filing bankruptcy and preventing home foreclosure can be confusing. It is helpful to retain the services of an experienced bankruptcy lawyer who can advise you of your options and guide you through the process.

At Platt & Westby, P.C., we have been assisting people throughout Arizona with bankruptcy filings since 1973. We will answer all of your questions and make sure you are fully informed of the process so that you can make good decisions about your financial future and gaining a fresh start.

Contact a Chapter 13 Bankruptcy Attorney

To learn more about lien stripping, call 623-239-4422 or e-mail our Phoenix foreclosure defense lawyers to arrange for a free initial consultation.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code. The information contained in this message is general and should not substitute for the advice and counsel of an experienced bankruptcy attorney.

Bankruptcy costs are one of the best bargains in law, starting with a $750 retainer. The fixed fee of a case will be discussed in a free case evaluation conference.