Q: My ex husband never took me off the house as was court ordered. It’s about to foreclose. Can I file bankruptcy ?

A: I think you are correct in being pro-active.

You need to consult a lawyer in Texas who does bankruptcy. You don't say where the house is, what your interest is, nor any detail necessary for complete advice.

Don't wait for someone else to do what you can cure in one courthouse.

Good Luck

d

A: There are important facts, e.g., the location of the house, the court in which your divorce occurred, whether the divorce court ordered him to "hold you harmless" from the mortgage debt and whether that hold harmless provision was couched as a "support obligation" which would not be dischargeable if he filed for bankruptcy relief.

Obviously, if you are considering bankruptcy relief yourself, you are not concerned with your credit rating.

Over the last two years, residential values have sky-rocketed. It may well be that even a forced sale by foreclosure would bring enough cash to pay off the mortgage debt. And in most states, foreclosure is an "in rem" proceeding, meaning that the foreclosure court only determines whether a sale of the property is justified, reserving any determination about your personal liability for a later, post-sale date. In other words, it is probably the wiser course to wait to see how the foreclosure case ends. If it gets to the point where you are adjudged to have a residual personal liability for some unpaid deficiency in the mortgage debt, you can always file for bankruptcy relief at that point.

It is probably wise to refrain from signing off on any mortgage modification or extension, as your ex is requesting. If you do, you may be increasing your exposure to mortgage liability on the residence.