I have 2 loans with the same bank, my primary and a second home. If I default on the 2nd home mtg, does anything happen to my primary assuming I am current with those payments? And how does bk affect this?
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Filed Business Chapter 7: 7/11/07
341 Meeting: 8/8/07 Asset Case
US Trustee reviewed case/resolved 9/14/07
Discharged: 10/11/07 Closed: 11/2/08 -
A lot will depend on the Mortgage Instruments themselves. What's written in the fine print legaleeze.
You'll have to dig them out and read thru them. You're looking for a Cross Collateralization statement. Meaning if you default on one note, the Lender can tack the deficiency balance onto the other note if you keep one home.
If you don't find a Cross Collateralization statement in either Loan, then you could possibly discharge one in BK and reaffirm the other if you wanted.
Be sure to address this issue with any attny you Consult with. Once you settle on which attny you feel comfortable representing you, that attny will probably want copies of your mortgages anyway.Filed Ch 7 - 09/06
Discharged - 12/2006
Officially Declared No Asset - 03/2007
Closed - 04/2007
I am not an attorney. My comments are based on personal experience and research. Always consult an attorney in your area to address concerns related to your particular situation.
Another good thing about being poor is that when you are seventy your children will not have declared you legally insane in order to gain control of your estate. - Woody Allen...
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