How to figure out if we meet debt limits for Chapter 13?

[O2brnot2b]

Original mortgage is $650,000. Interest and late fees over last 4 years is probably $300,000. So what number do I used to determine if we meet the debt limits for chapter 13? 650,000 or 950,000? I have a bad feeling about this.

[forgotten]

You use whatever your current mortgage balance is according to the mortgage servicer. If you receive monthly statements that balance should be on there, if not just call and ask what the current balance on the loan is. The secured debt limit is $1,081,400.00, so unless you have a lot of secured debt on top of your home you should be fine.

[justbroke]

You would use the $950,000 number since that's the balance on the account. It appears that you may be at or over the debt limit for a Chapter 13 (which is $1,081,400). If you have a second residence or vehicles with balances over $131,400, you could be in trouble.

Please keep in mind that there is an unsecured limit as well. In some Districts the unsecured debt limit is generally the one that bites people. If you actually have two mortgages on that residence (a first and second) and the home is worth less than the balance on the first mortgage, then the "wholly unsecured" mortgages count towards the debt limit! That limit is only $360,475.

[forgotten]

As well, the only way I can figure $300,000 being added to the mortgage over the past 4 years would be at around 8%APR and around a $500/mo late fee with no payment being made at all. Have you really managed to be there 4 years without making a payment?