Ohio residents may wonder if they can walk away from a home on which they have a mortgage if they are in the middle of a Chapter 13 bankruptcy. Even if the bankruptcy filing consolidated debts and all payments, including the mortgage, are being made through the bankruptcy trustee, it is still legal to abandon a home.
Bankruptcy discharge possible for some student loans
Individuals in Ohio may think that they cannot discharge their student loans in a bankruptcy, but this common assumption is not always true. In some circumstances, private student loans can be discharged along with other types of debt.
Alternatives for resolving unmanageable debt
Ohioans who have experienced a severe drop in their income have a few options to manage their debts. The first step is to speak with a certified credit counselor. These professionals can help people in a dire financial situation understand their options and give recommendations.
Second mortgages troublesome arena for bankruptcy law
Issues arising from the 2008 housing market collapse that swept through Ohio have taken bankruptcy law to the U.S. Supreme Court. In the oral arguments presented for Bank of America vs. Caulkett, the lawyer for the lender argued that the 11th Circuit Court of Appeals should not have allowed second mortgages to be discharged in a bankruptcy.
