Sentences with phrase «secured debts»

Secured debts, like your mortgage or car loan are not included in a bankruptcy.

Unsecured debts work very differently when compared to secured debts.

So while a Debt Consolidation Program will not include secured debts, it does make unsecured debts much more manageable (unsecured debts almost always have a much higher interest rate too) thus improving your ability to continue paying your secured debts in a timely manner.

The limit of your debts must total not more than - $ 1,081,400.00 in secured debts and $ 360,475.00 in unsecured debts (This is effective since April 2010, but subject to changes based on average cost of living.)

(iii) The debtor's average monthly payments on account of secured debts shall be calculated as the sum of --

(II) any additional payments to secured creditors necessary for the debtor, in filing a plan under chapter 13 of this title, to maintain possession of the debtor's primary residence, motor vehicle, or other property necessary for the support of the debtor and the debtor's dependents, that serves as collateral for secured debts;

Despite a sometimes - bad reputation, Chapter 13 bankruptcy can have advantages, especially if you are underwater on secured debts or facing foreclosure.

Secured debts generally must be paid if the debtor intends to retain the collateral securing the debt.

In Chapter 11 consumer bankruptcy, the clients typically are able to keep their homes, eliminate their junior mortgages (i.e. 2nd, 3rd, and 4th mortgages) entirely, and even reduce the amount owed on other secured debts.

You will not be discharged from your secured debts and will still need to pay them in the usual way.

Some advantages bankruptcy protection might offer a bankrupt debtor is that you can obtain an automatic stay which means the mere request for bankruptcy protection automatically stops and brings to a cessation certain lawsuits, foreclosures, utility shut - offs, evictions, repossessions, garnishments, attachments, and debt collection harassment, filing might save your home, you can reschedule secured debts, you can receive protection for co-debtors you can keep all non-exempt property, you can consolidate all your loans under one plan, all or part of your loans may be completely forgiven, and you can extend certain tax obligations, student loans, or other such qualifying debts.

By filing under this chapter, you get the option to reorganize your payment plans and reschedule secured debts.

At the end of the payment plan, your remaining debts are discharged, unless you've reaffirmed (promised to pay) your secured debts and received the approval of your bankruptcy judge.

Bankruptcy does not deal with secured debts like your mortgage or car.

Secured debts can't be brought into a debt management plan, so if you only have secured debts like car loans or home mortgages, a debt management plan won't help you get caught up.

As long as you make your payments on those secured debts you get to keep the things that you're paying for.

The collateral on secured debts is a way for lenders to protect themselves when passing out large loans.

This is likely because they are secured debts and people understand that if they don't pay, they can lose their property.

Secured debts tend to be larger, too.

Even 100 % plans offer many benefits to consumers, like paying 0 % interest on unsecured debt and reducing the interest rate on secured debts for cars to approximately 4.75 %.

They also can have no more than $ 1,184,200 in secured debts, which includes mortgages and car loans.

If you are hit with a financial crisis, and you can't pay all your bills on time for the month, it usually makes sense to pay your secured debts first.

Ideally, you'd never have to prioritize unsecured or secured debts, but would rather pay all your bills on time each month.

Lower the monthly payments and interest rates on debts, including secured debts such as car loans.

That may leave you with the question: What happens to my secured debts?

Although secured debts are handled differently than unsecured debts in the bankruptcy process, there are extenuating circumstances that may subject a creditor who holds a secured debt to bankruptcy laws, especially after a bankruptcy closes.

What are Secured Debts?

Secured debts are those debts...

Secured debts get their name from the fact that the loan is secured by collateral — the mortgage on your home, for example — that can be seized and sold by your creditors in the event that you default on your payments.

If you also have any secured debts, the Credit Counsellor will work payments for those debts into the program so that you can afford to make them every month.

There are two different kinds of debts — unsecured and secured debts.

These advantages are: to save your home from foreclosure; to reschedule secured debts; to provide protection for co-debtors; to consolidate your loans under one plan; to keep non-exempt property; to extend certain tax obligations, student loans, or other such qualifying debts; and to qualify for bankruptcy relief.

This is as opposed to either secured debts like mortgages, or priority debts like council tax or utility bills.

Because in 2005, when Congress made major changes to the existing bankruptcy law, Congress changed the options that bankruptcy debtors had with respect to secured debts.

Remember that part of the means test takes into account your payments on secured debts that due within the next 60 months.

Secured debts are not wiped out in bankruptcy unless you agree to surrender or give back the property that serves as collateral for the loan.

Therefore, for secured debts such as home mortgages or car loans, you must continue paying your secured creditors, or the asset may be seized by your creditor.

Consolidation loans are geared toward unsecured debt (credit cards, medical bills, utility or rent payments) rather than secured debts (home or auto) that have collateral behind them.

However, bankruptcy does not relieve you of the obligation to pay secured debts, such as mortgages and car loans, if you intend to keep the property.

If you put that difference into savings, which can be used for a down payment, or use this money to pay down other secured debts like your mortgage or car loan, your financial situation will improve that much sooner and your credit score is also likely to improve that much quicker.

As a general rule, unsecured debt is wiped out by filing bankruptcy, whereas previous obligations to pay secured debts will remain if you retain the property that serves as collateral for the loan.

A rudimentary understanding of the difference between unsecured and secured debts is very helpful if you want to take the most information away from a meeting with a bankruptcy attorney.

Car loans, leases and mortgages are secured debts, meaning that you've made a pledge with your lender that if you stop making your payments, they have the right to take your car or house.

Bankruptcy can eliminate unsecured debt such as credit cards, but requires that secured debts be paid after filing if the debtor wishes to keep the colatteral (car, home, boat etc.) In some -LSB-...]

-LSB-...] 13 bankruptcy allows for the «cram down» of auto loans and other secured debts.

Secured debts are those for which the creditor is entitled to seize property if you don't pay (such as a mortgage or car loan); priority debts are obligations that the law deems to be so important that they are entitled to jump to the head of the repayment line.

If you have enough to pay back priority debts and secured debts, but not enough or credit cards, you may not have to pay on the credit cards.

After the repayment plan covers your priority debts, the payments are applied to your secured debts.

To qualify for Chapter 13, your secured debts must be less than $ 1,149,525 and your unsecured debts less than $ 383,175.

Secured debts, such as a mortgage or auto loan, are not eligible for the program.