Do a Chapter 13 Bankruptcy Buyout Now?
Lower monthly debt
Ends stigma of bankruptcy and puts you on the road to better
credit means lower interest rates on future big
such as a new car, furniture or home!
Could put a lump sum of Cash in your bank account!
to use monthly savings and lump sum cash to
reserve fund that grows tax free!
Chapter 13 Bankruptcy Buyout explained
A mortgage refinance
ending your bankruptcy has the potential to lower
your monthly debt payments substantially. Many
people save hundreds, even thousands of dollars each month on their monthly
When you filed Chapter
13 Bankruptcy, you agreed to pay your past due
mortgage payments and other debts usually over 60 months or 5 years.
You also agreed to make your regularly scheduled mortgage payments in
a timely fashion to your lender. If you have made these payments on time
(never 30 days late) for at least twelve months, you have demonstrated
to some lenders that you are a good risk, since you have handled the
higher monthly payments.
A new 30,
40 or 50 year first mortgage refinancing your existing mortgage
and paying off the Chapter
13 Bankruptcy allows you to stretch
your debt payments over 30 to 50 years, and this should
lower your monthly payments. The down side is you will be paying interest
these debts for 30 to 50 years and your
unsecured debt will be paid in full. Under your Chapter 13 Bankruptcy
Plan, the remaining balance on your unsecured debt might have
been discharged at the end of the 60 months. You will want to discuss
this with your
Bankruptcy Attorney after we determine how much we might be
able to save you on a monthly basis. We work closely with your Attorney
who will be contacting your Trustee for permission to refinance, a payment
history and the remaining balance owed to the Trustee. Your Bankruptcy
Trustee has to approve of the refinancing.
your unsecured debt over 30 or more years might sound scary, keep in
mind, if you were only making the minimum required payment on
your credit cards prior to filing the bankruptcy, it would have most
likely taken 28 to 35 years or more to retire the credit card debt.
Also, most mortgage interest is tax deductible while credit card debt
is not. Tax savings is cash in your pocket.
The key is cash
flow. Lowering your debt payments increases your cash
flow. This buys you time to concentrate on increasing your income which
will also increase your cash flow. It also reduces stress, as you now
have a cushion to work with that you did not have under the direction
of the Chapter 13 Trustee.
You might also be
able to pull a lump sum of cash out of the equity in your property
in addition to paying off the Chapter 13 Bankruptcy and
the old mortgage. Of course, if there is no equity or very little equity
in your property, the Chapter 13 Bankruptcy buyout won’t
work. With the recent crisis in subprime mortgages, most lenders require
you to have equity in the property after the refinance. The more equity
the better, as this makes the lender feel more secure in lending you
Now, if you are interested in lowering your monthly debt payments, call
to discuss your
situation. You can apply online at the link below, but we have found
a personal discussion can save you a lot of time and work.
13 Bankruptcy Buyout Refinance is
more complex than a normal refinance. Your Bankruptcy Trustee must
approve the refinance plan, provide an updated balance owed under
your Plan, provide a payment history under
the plan and notify your creditors. In some jurisdictions, the Trustee
meets once a month. So the sooner you get started, the sooner you can
put the stigma of Bankruptcy behind you, lower your monthly debt payments,
possibly cash out some of your equity, and be on the road to restoring
your credit. Bad credit does not have to be permanent!
us today to explore your refinancing options.
Visit our blog
P.S. Profit from my 35 years experience in the Financial
Bruce Edward Cox NMLS# 182629
by the NJ
Department of Banking and Insurance, PA Department of Banking.