Automatic Stay Question

[jacqui]

Hello! We are hoping to file a chapter 7 sometime this week if all goes well. We are keeping our house and should be considered a no asset case (owe about what the house is worth). Anyway we also have a great deal of student loans, i realize that these can not be discharged but i have heard that you can take a break from your payments during the 60-90 days that the automatic stay is in place. This is great and we will use this to get some money into savings. Now for my question. Will this automatic stay also apply to our mortgage? Our mortgage is about $1,600 a month and a 3 month break from paying would be really amazing. (i do realize that interest would continue on both the student loans and mortgage). Please let me know if you have had any experiences.

for what it is worth our mortgage is with chase.

[keepmine]

A mortgage is a secured debt. If you intend to keep the house you need to stay current. You miss some payments and your lender may well file for relief from stay and begin foreclosure proceedings.

[jacqui]

thanks for the quick response. for some reason i didn't really consider the secured vs unsecured. thanks again!

[blockhead]

Too bad about the student loans. There's an article in today's NY Times about student loans and BK and possibly changing the law, but who knows if or when that would actually get enacted.

[jacqui]

that would be great if student loans were added! It makes up about 1/2 of our debt. But....freeing up credit card debt will still make a huge difference! Thanks guys