Miami – Kendall – Aventura (305) 891-4055
Two Programs Together – Chapter 13 Bankruptcy and Mortgage Modification Mediation Program
As part of a chapter 13 bankruptcy case, you are able to use the Bankruptcy Court’s “MMM” Program (Mortgage Modification Mediation). In this way, you are able to address financial issues in one plan – first mortgages, second mortgage, credit cards, IRS debt, etc.
It is often easier to obtain a mortgage modification under the MMM Program as you are able to communicate directly with the mortgage lender over a special internet portal and also due to the assistance of the mediator appointed by the Bankruptcy Court.
Free Initial Consultation
Miami Bankruptcy Attorney Jordan E. Bublick has been a practicing chapter 7 and 13 bankruptcy lawyer for over 25 years in the Miami area With the complexity of today’s world, even the “simplest” of bankruptcy cases can present a broad range of issues that need to be reviewed properly by an experience bankruptcy lawyer. A bankruptcy case may present issues such as valuation, exemptions, budget, “means test” and “lien stripping” of mortgages.
Chapter 13 Bankruptcy
Chapter 13 gives a person the opportunity to work with their bankruptcy lawyer to formulate a chapter 13 plan to reorganize their debt, including mortgages, association liens, property taxes, income taxes, and credit card debt under a 3 to 5 year chapter 13 plan of reorganization. Also, chapter 13 is used by those for whom chapter 7 is not appropriate, usually those with a significant amount of non-exempt property or those who do not “pass” the chapter 7 “means test.”
Chapter 7 Bankruptcy
Chapter 7 is usually used by individuals with little non-exempt property and lower incomes. But sometime persons who qualify for chapter 7 need to file a chapter 13 case as it offers the person the have needs that chapter 7 cannot provide – such as the need to modify their their mortgage or can loan or payoff IRS debt over time.
Frequently Asked Bankruptcy Questons
- Saving Home from Foreclosure – chapter 13 stays most foreclosure case and generally provides an opportunity to reinstate, modify, or avoid wholly underwater mortgages.
- Chapter 7 – do not file if you really need to or are required to file under chapter 13
- Stay of Creditors – immediately upon the filing for bankruptcy, most creditors are automatically stayed from proceeding against you.
- Income Taxes – some IRS taxes are dischargeable in bankruptcy
- Mortgage Modification – you may be able to expedite a modification of your mortgage under the Bankruptcy Court’s new Mortgage Modification Mediation Program
- Assets – you must fully list and disclose all of your property in your bankruptcy schedules under the penalty of perjury. This includes property of every type – and located anywhere in the world
- Wholly “Underwater Mortgages” – may be avoidable in a chapter 13 plan
- Chapter 13 Plan – offers an opportunity to restructure most secured debt, including mortgages, association liens, and property taxes
- Transfers of Property made before a bankruptcy filing may be required to be reversed
- Bankruptcy schedules require a full and complete disclosure of your assets, creditors, income, and expenses and are required to be signed under the penalty of perjury
- Florida offers a very generous homestead exemption
- You are required to list all of your creditors in your bankruptcy schedules
- You may file a joint case together with your spouse