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Bankruptcy

: The Debt Podcast

Can a Wholly Unsecured Second Mortgage be Stripped Off in a Chapter 7 Bankruptcy?

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If the amount of the first mortgage on a property exceeds the value of the property, it is generally accepted that in Chapter 13, or 11 or 12, a second mortgage or any other junior lien can be avoided, or “stripped off,” and treated as unsecured debt.  However, conventional wisdom is that it cannot be [...]

Full post as published by The Debt Podcast on February 11, 2010 (boomark / email).

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