Does secured debt limit half of total debt for a jointly owned property? 12 Answers as of June 09, 2013

Is secured debt limit half of total debt for a jointly owned property (and debt) in case Chapter 13 is being filed by an individual?

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Heupel Law
Heupel Law | Kevin Heupel
No, the debt limits in a Chapter 13 apply to the full amount of the debt regardless if it there is a joint debtor.
Answer Applies to: Colorado
Replied: 8/17/2011
Janet A. Lawson Bankruptcy Attorney
Janet A. Lawson Bankruptcy Attorney | Janet Lawson
No, the liability is "joint and several" so the entire amount counts.
Answer Applies to: California
Replied: 8/15/2011
Tucker Legal Clinic
Tucker Legal Clinic | Samuel Tucker
The total debt would be listed on the schedules. Both spouses are responsible for the entire debt jointly and severally.
Answer Applies to: Mississippi
Replied: 8/15/2011
Lake Forest Bankruptcy
Lake Forest Bankruptcy | Anerio V. Altman, Esq.
he secured debt limits in a Chapter 13 depend upon your secured liabilities under State and Federal Law so generally no, we don't use half debts-You are liable for the full Community Property debt under State Law and that's what we use in BK. It is possible something different may apply in your case.
Answer Applies to: California
Replied: 8/15/2011
Law Office of Asaph Abrams
Law Office of Asaph Abrams | Asaph Abrams
If one's a codebtor or cosigner on debt, one is liable for the entire debt. Answer does not address all implications of the question, nor is it legal advice to be relied upon.
Answer Applies to: California
Replied: 8/15/2011
    Bankruptcy Law office of Bill Rubendall
    Bankruptcy Law office of Bill Rubendall | William M. Rubendall
    If a debt is jointly owned there is what is called "joint and several liability." The entire debt is owed by either one of the joint borrowers, so a bankruptcy of one does not cut the debt in half.
    Answer Applies to: California
    Replied: 8/15/2011
    Ross Smith, Attorney at Law
    Ross Smith, Attorney at Law | Charles Ross Smith III
    Your question is badly worded, but the answer is , yes. But remember, you owe the WHOLE mortgage. You can not cut the amount due on the mortgage in 1/2 because your spouse is not filing. You will need an attorney to effectively file a Chapter 13. Get a good one. The best bankruptcy attorneys cost no more than part time practitioners in bankruptcy. Good luck. Thank you for reading me. I hope you found this answer to be helpful. This answer is not intended to create an attorney/client relationship. It is general information that should be discussed with your own attorney. Because the law in other jurisdictions is different and the facts of each case are different, consumers cannot rely on the opinions expressed here.
    Answer Applies to: Ohio
    Replied: 8/15/2011
    Melinda Murphy Dionne, PC
    Melinda Murphy Dionne, PC | Melinda Murphy Dionne
    I am assuming that you are asking whether you only count one-half of joint secured debt in determining whether you qualify for Chapter 13 when only one of the joint owners is filing. In most cases you are jointly liable for the entire debt. For example, if you both sign a note and mortgage, the mortgage company can sue either or both of you for the entire debt until the note is paid in full. Unless you are only liable for one-half of the debt (your documents must provide this specifically) you list the entire debt in your Chapter 13 case. In determining whether you qualify to file for Chapter 13 the entire amount of secured debt that you are liable for is considered. The fact that you have a co-debtor will generally not reduce the amount of debt that you are obligated to pay.
    Answer Applies to: Alabama
    Replied: 8/14/2011
    Colorado Legal Solutions
    Colorado Legal Solutions | Stephen Harkess
    No. You don't owe half of the debt. You owe all of it. Even if you file separately, all of the debt will count toward the debt limit.
    Answer Applies to: Colorado
    Replied: 8/14/2011
    Ashman Law Office
    Ashman Law Office | Glen Edward Ashman
    No.
    Answer Applies to: Georgia
    Replied: 6/9/2013
    Law Office of Maureen O' Malley
    Law Office of Maureen O' Malley | Maureen O'Malley
    No.
    Answer Applies to: Virginia
    Replied: 6/9/2013
    The Schreiber Law Firm
    The Schreiber Law Firm | Jeffrey D. Schreiber
    Debt is usually joint and several which means the creditor can collect all from one debtor and not just half so all secured debt is included in the debt limitation.
    Answer Applies to: California
    Replied: 8/14/2011
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