They filed for bankruptcy with another attorney to stop collection efforts on three judgments entered against them. They expected that all judgments were taken care of. Their original attorney never let them know that the judgment had become liens which would survive bankruptcy, or that there existed a separate procedure for eliminating the liens.
Several years later, they applied for modification of their mortgage. They were shocked when they were denied a modification because of the outstanding judgments.
They desperately wanted to save their home, but could not afford to pay off the judgments. They came to us for help and we found a solution.
We moved to reopen their bankruptcy case, then made a motion to cancel the judgment liens because the liens interfered with the clients’ statutory “homestead exemption.”
With that Order in hand, we got the judgment liens removed from the home, and then successfully negotiated a mortgage modification, without paying a nickel to the judment creditors. Mortgage Modification, like Bankruptcy, requires extensive experience to be successful. Don’t lose hope. Call for help.