Legal Question in Bankruptcy in Florida

A few months ago I filed Chap 7 in FL & it was discharged. Included was a 1st and 2nd mtg on a prop in Indiana. I have continued to make both pmts because I have family living in the prop. What would happen if I continue to pay the 1st mgt but stop paying the 2nd? (Both are current now.) Thx!


Asked on 4/24/14, 9:11 am

1 Answer from Attorneys
R. Jason de Groot R. Jason de Groot, P.A.

What would happen would be that the 2nd mortgage holder would foreclose on the property, in an in rem action only, but then they would take it subject to the 1st mortgage. It would be a mess. Were the property in FL, that 2nd mortgage could have been declared an unsecured debt and completely wiped off of the slate. That might even have been possible in your FL bankruptcy, because you filed in FL.

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Answered on 4/24/14, 10:42 am


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