Chapter 20 Bankruptcy

Chapter 20 Bankruptcy Attorney Serving in Glen Burnie, Maryland

Filing for Both Chapter 7 and Chapter 13 Bankruptcy

While not an actual and official bankruptcy chapter what is sometimes called “Chapter 20 bankruptcy” is a serial filing of Chapter 7 and then Chapter 13 bankruptcy. This is a solution for both discharging unsecured debt under a Chapter 7 and then under Chapter 13, a possible lien stripping of a second mortgage on your home and repayment of mortgage arrears.

At Timothy J. Mummert, P.A., we provide exceptional, skilled and personalized bankruptcy services. We offer everything from Chapter 7 bankruptcy filings, Chapter 13, Chapter 20, lien stripping solutions as well as any bankruptcy alternatives. We will do what is best for your particular situation and fully inform you of all options. Schedule your confidential and private consultation with our Chapter 20 bankruptcy lawyer serving Baltimore. Please contact us online or call 410-609-6715 to talk to our attorney today.

What Is “Chapter 20″ Bankruptcy?

Sometimes referred to as “Chapter 20″ bankruptcy, this is not an official bankruptcy chapter. Really it is a series of first filing Chapter 7 bankruptcy and then Chapter 13 bankruptcy. Why would a debtor do this? To be able to discharge debt, create a repayment plan for mortgage arrears, and lien strip a second mortgage, helping him or her to avoid foreclosure. The law surrounding the eligibility requirements are still ongoing, which is why you must consult with an experienced bankruptcy attorney like Timothy J. Mummert.

Debt Discharge Through Chapter 7 Bankruptcy

In a Chapter 20, you must first be eligible to file for Chapter 7 bankruptcy. This is largely dependent on your income in a bankruptcy means test and assets. If you are qualified for Chapter 7 bankruptcy, you are able to file and discharge any debt eligible for discharge under Federal bankruptcy law.

Chapter 13 Lien Stripping: Eliminate a Second Mortgage – Maryland Lawyer

The second filing in a Chapter 20 would be a Chapter 13 bankruptcy filing. A Chapter 13 is a debt reorganization bankruptcy, allowing you to pay back debt in a three-to-five-year repayment plan. One of the major benefits of a Chapter 13 is the ability to reclassify secured mortgage debt to unsecured debt if your mortgage is no longer backed by the current value of your home. This is called lien stripping and can be done on second and even third mortgages of both primary and secondary residences.

Contact Us Today to Schedule Your No-Risk, No-Pressure Consultation

To get answers to your Chapter 20 bankruptcy questions, contact us online or call 410-609-6715 today. We help clients throughout the greater Baltimore area and beyond, including communities from Elkridge and Columbia to Odenton, Severna Park, Annapolis and Glen Burnie. We have offices in Glen Burnie and Columbia to meet with you.