"Hi my wife is considering filing Bankruptcy for credit cards about 60000.The Mortgage is under her name only my name is on the deed with hers.Can they take assets from the house.The house is worth double of what we owe."
You will want to speak with an experienced bankruptcy attorney in New Jersey to determine whether you are eligible to file for bankruptcy and whether it would be prudent fro you to do so. All things being equal, 60,000 in credit card debt is a significant hurdle to overcome.
You should schedule a consultation with an attorney in your state to determine what is the best course of action for you. Luckily, the vast majority of bankruptcy attorneys provide free initial consultations to evaluate your case.
I hope this information was helpful to you.
Parker Evan Bornmann, Esq
Contact me directly at 480-833-8000 for a free (1 Hour) consultation. I have law offices conveniently located in Mesa, Glendale, and Tucson, Arizona. You and I do not have an attorney-client relationship formed by our communications on this website. Advice given by me on this website is general advice based on partial information. You should not rely on any advice given without first hiring a lawyer in the area where the case is pending, and providing that lawyer with full information. http://www.bankruptcy-az.com
If she put you on the deed after her loan, that could be a fraudulent conveyance. With that much equity, she could have a big problem, so it is imperative that she consult with local counsel to see how this would be handled.
You should contact a local bankruptcy attorney and meet for a consultation to discuss the issues you raised above and other factors that may be relevant in determining whether a Chapter 7 Bankruptcy can offer you the debt relief you seek. Most bankruptcy attorneys offer free consultations.
It would be necessary to review all assets against available exemptions an determine ownership of the same to determine whether a hypothetical Chapter 7 would be an asset or a non-asset case. Also, if your debts are primarily consumer debts, it is also necessary to meet an income based means test.
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In a chapter 7 case you are in effect asking the Bankruptcy Court (the Trustee actually) to take your assets, sell them and pay your creditor with the proceeds. Now, you have a certain amount of exemptions available to protect equity you have in the various types of property that you own. Normally, most attorneys will not file a case for a debtor who has an un-exempted asset as the Bankruptcy Trustee assigned that case will likely sell that asset to pay creditors.
Your home is an asset. If you have equity equal to twice the amount owed, it is very, very likely that that is more equity than can be exempted. By filing a Chapter 7 case you would in effect be asking the Trustee to sell the home.
Our office, like most bankruptcy attorney's offices, offers a free consultation. Speak to an attorney about what assets you may have before you commit to filing a Chapter 7 case.
There are, as my colleagues have indicated, many issues to consider before your question can be properly answered. There are also important options for you and your wife to know about. for example, why it appears at first blush that a chapter 7 bankruptcy filing is probably not a good idea for your wife, she may benefit from a chapter 13 filing. Alternatively, she may want to see if the larger credit card debts can be negotiated down to an amount you can afford to pay.
I wholeheartedly agree with my colleagues who have stated that you should avail yourselves of a free initial consultation to inform yourselves about the alternatives and weigh your options before proceeding.
Best of luck and ... Make it a Great Day!
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I have been a practicing bankruptcy lawyer for more than 23 years. Most bankruptcy attorneys provide an initial free consultation. I am located in Morris Plains. It's not exactly close to Lambertville, But it just might be worth it to take the drive. There is just so much information that you can provide in 3 or 4 sentences. Do you have any credit card debt? Was your name ever on the Deed? How do you know what you house is worth?
In order to properly analyze your wife's situation (and your situation), you really need to sit down with an attorney.
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