why is mortgage attorney at my bankruptcy hearing

The best way for a debtor to prepare for a 341 hearing, which is largely a question-and-answer session about their financial circumstances, is to confer with their attorney so they are clear about their financial records, any special issues that need explaining and are ready to answer any questions posed by the trustee.

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What happens to my mortgage if I file bankruptcy?

A local bankruptcy lawyer can help you determine whether your property would qualify for a balance reduction. Getting Your Lender to Modify Your Home Loan. The lender might modify your home loan so that the payments are more affordable. Your local bankruptcy lawyer will be in the best position to explain your options. Navigating Your Bankruptcy Case

What happens at a confirmation hearing in bankruptcy?

Your bankruptcy hearing will take place at an office building. If it is a Newark filing, it will take place at 1 Newark Center, Newark, New Jersey. If it is a Trenton filing, it will take place in the main U.S. post office in Trenton. At the hearing, the room will be filled with other bankruptcy filers waiting for their turns.

What happens at a meeting of creditors in bankruptcy?

This hearing is central to your Chapter 13 case because it is where the court decides whether to approve (or confirm) your proposed repayment plan. Once your plan is confirmed, your obligations going forward are reset and your creditors must accept your payments in …

What happens at a bankruptcy trustee hearing?

Do I have to pay my mortgage during bankruptcy?

If you want to keep your home, you must continue to pay your mortgage while in Chapter 13 bankruptcy. ... However, during your Chapter 13 case, you must make timely mortgage payments; otherwise, your lender can obtain court permission to foreclose on your house.

What happens to my mortgage in a Chapter 13?

Mortgage Payments After a Chapter 13 Plan The lien allows the lender to foreclose on your home if you miss a payment. Simply completing your Chapter 13 repayment plan and getting a discharge won't get rid of the first mortgage lender's lien on your home.

Can a mortgage be discharged in bankruptcy?

Mortgage and Other Secured Debts Will be Discharged Mortgage debts, and other secured debts–such as those on vehicles–are also dischargeable in bankruptcy in most cases. This means that the obligation to pay on the underlying mortgage (or other secured) debt is extinguished if you receive a discharge in bankruptcy.May 28, 2013

How long after bankruptcy hearing is discharge?

Assuming that everything goes according to schedule, you can expect to receive your bankruptcy discharge (the court order that wipes out your debts) about 60 days after your 341 meeting of creditors hearing, plus a few days for mailing.

Do you have to reaffirm a mortgage in Chapter 13?

Mortgage Arrearages in Chapter 13 You'll have to pay back all of your mortgage arrears by the end of the repayment period, too. But you don't have to pay it all at once. You'll have three to five years to make up the overdue payments.

Does Chapter 13 lower mortgage?

Still, Chapter 13 bankruptcy allows you to reorganize your debt, so in some cases your mortgage payments may be lower than they were before you chose to file.

Can I walk away from my mortgage after Chapter 7?

Yes, you can walk away from your home. Just be aware that sometimes taxes or HOA dues can still be held against you, but the mortgage cannot. You can also report your mortgage payments to the credit agencies.Sep 23, 2013

What happens when your mortgage company files bankruptcy?

Yes, if your mortgage lender goes bankrupt, you do still need to pay your mortgage obligation. ... If your mortgage lender goes under, the company will normally sell all existing mortgages to other lenders. In most cases, the terms of your mortgage agreement will not change.

Can I get a conventional loan after bankruptcy?

If you've gone through a Chapter 7 bankruptcy, you need to wait at least 4 years after a court discharges or dismisses your bankruptcy to qualify for a conventional loan. Government-backed mortgage loans are a bit more lenient.Nov 17, 2021

Can bankruptcy trustee take assets after discharge?

The trustee can revoke your discharge. If the trustee finds hidden assets, the trustee can ask the court to revoke or take back your discharge. The trustee can do this at any time before the case closes or, even after, up to one year after the discharge date.

Does trustee check your bank account?

Please be aware that your trustee does not have access to your personal account. A separate account is opened to manage your bankrupt estate.

What debts are not dischargeable in Chapter 7?

Debts dischargeable in a chapter 13, but not in chapter 7, include debts for willful and malicious injury to property, debts incurred to pay non-dischargeable tax obligations, and debts arising from property settlements in divorce or separation proceedings.

Chapter 7 Bankruptcy and Your Mortgage

If you file (and qualify) for Chapter 7 bankruptcy and your home is exempt, you can continue to make your mortgage payments if you want to keep you...

Chapter 13 Bankruptcy and Your Mortgage

Chapter 13 bankrupcy does not affect your home mortgage. You continue to make your mortgage payments during and after the bankruptcy.If you are beh...

Modifying Mortgages: Cram Downs

In some instances, you can modify a mortgage in Chapter 13 bankruptcy so that the new principal equals the actual value of your home. For example,...

Getting Your Lender to Modify Your Home Loan

You can always try to get the lender to modify your home loan so that the payments are more affordable. To learn more about the new government prog...

What are adversary proceedings?

The most common types of adversary proceedings include: 1 actions by the trustee to recover fraudulent or preferential transfers 2 complaints by creditors to have their debts declared nondischargeable because of fraud 3 objections to your entire discharge filed by the trustee or creditors as a result of bankruptcy fraud, and 4 complaints to strip junior liens from a house (only certain bankruptcy jurisdictions require an adversary proceeding to strip junior liens--others require a motion).

What happens if you file Chapter 13?

If you file for Chapter 13, you or your attorney will have to appear at the repayment plan confirmation hearing. Before the hearing, you'll send your proposed repayment plan to the Chapter 13 trustee and creditors. Each will have an opportunity to file a written objection.

Where is the 341 hearing held?

Instead, the trustee will oversee the hearing in a conference room.

What happens if you file Chapter 7 bankruptcy?

If you file for Chapter 7 bankruptcy and have a secured debt such as a car loan, you may need to reaffirm that debt if you want to keep the car.

What happens to nonexempt assets in Chapter 7?

In a Chapter 7 bankruptcy filing, the bankruptcy trustee sells your nonexempt property —assets that you can't protect with a bankruptcy exemption —and distributes the proceeds to creditors. In Chapter 13, the trustee doesn't sell your nonexempt assets. Instead, you pay the value of nonexempt assets through your repayment plan.

Can you keep a car loan in bankruptcy?

If you have a car loan or mortgage, and you want to keep the house, car, or other collateral, you must make the monthly payments during bankruptcy. If you don't, your lender can file a motion for relief from the automatic stay and ask for court permission to foreclose or repossess your property.

What is the role of a trustee in bankruptcy?

The trustee is responsible for ensuring the accuracy of your petition and presiding over the meeting of creditors.

What happens if you file Chapter 13?

If you file for Chapter 13 bankruptcy, the court will hold a confirmation hearing. This hearing is central to your Chapter 13 case because it is where the court decides whether to approve (or confirm) your proposed repayment plan. Once your plan is confirmed, your obligations going forward are reset and your creditors must accept your payments in ...

What is Chapter 13 bankruptcy?

A lot of different factors are involved. The papers you file with the court must show that you are using all of your disposable income (as calculated under the bankruptcy laws) to fund your plan.

What happens if you don't reach agreement?

If you are not able to reach agreement, the court may be able to determine some issues after hearing each party's concerns and considering the law. With other issues, the court may require that evidence, in the form of testimony, documents, or affidavits be presented.

Can you deduct Chapter 13 from paycheck?

Other than that, court procedures vary on the matters that will be heard at the same time as the confirmation hearing. The court may consider whether or not to require your Chapter 13 payment be deducted directly from your paycheck.

What happens at a confirmation hearing?

Below are the typical outcomes. Your plan is confirmed. If there are no problems with your plan and no parties object, or any objections are determined in your favor, your plan is confirmed.

1. Listen to the question

Just because you’ve read Jay’s list and think you know what’s coming, listen to the trustee’s question, all the way to the end.

2. Answer truthfully

Honest disclosure is the price of getting a bankruptcy discharge. This is not the time to be cute or tell anything less than the truth.

3. Be brief

Answer the question that the trustee has asked, truthfully, in as few words as possible.