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What to File
My question involves bankruptcy in the state of: CA
I am so scared and I have no clue what to do. I am hoping you guys can help me out. I am going through a foreclouser on a 1st ($270,000) and 2nd ($80,000) and I am not sure what will happen and if I can file bankrupcy for help. Will I be responsible for the entire amount or just the 2nd. What chapter would be best for me. I make around $40,000 per year and have a car payment, my dad died so my mom lives with me now, and I have a child with no finacial help. My credit card debt is about $8,000. I am not wanting to get away from my obligations for free, I am just scared and dont want to end up on the streets.
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Re: What to File
The very first thing you should do, and please do it asap... is go see a Bankruptcy attorney. Most offer a free consultation and can advise you as to which chapter you qualify for and what would be best in your situation.
As far as the mortgages and how much you may be held responsible for after foreclosure.. that will depend entirely upon how much the home is sold for after the foreclosure. Typically they are sold to the highest bidder, often for less than fair market value. So depending upon the market in your area and the value of your home, you could be left owing very little, or all of the 2nd mortgage, and maybe even some of the 1st. Again it depends on how much the house is sold for.
Unfortunately the information you provided is not enough for anyone to tell you on this forum which chapter would be best for you. This is why you should see an attorney ASAP. He/she will review every aspect of your situation and determine what you qualify for.
Good luck!!