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Lien Stripping Lawyer in Michigan

Discharging Debt in Michigan

When a homeowner gets in a financial bind, one of their main concerns is whether or not they will be able to prevent the loss of their house. Filing for a Chapter 13 bankruptcy can have considerable advantages in this regard, especially when there is a second mortgage. Not only will the bankruptcy stop any foreclosure proceedings, but it can also result in the second lien being stripped. If you are a homeowner that is considering bankruptcy, speak with a bankruptcy lawyer regarding your financial situation.

A bankruptcy lawyer can discuss the benefits of Chapter 13 bankruptcy in more detail, including how it:

  • Prevents a foreclosure
  • Enables you to catch up on missed payments over a 3 to 5 year period
  • Can result in the stripping of a second lien

How Lien Stripping Works

When real estate values were increasing, many people with equity in their property took out second and third mortgages. Declining market values resulted in many homeowners owing more than their house was worth. A large percentage of property owners also ended up with higher monthly mortgage payments due to increased interest rates. In a bankruptcy, if you have a second mortgage on your home, the judge can decide to strip the second lien. This is because lenders are only secured up to the value of the property. If your home is worth $150,000 and you have a second lien for $50,000, the second lien is not secured by any collateral and can be discharged as unsecured debt.

How Our Michigan Lien Stripping Attorney Can Help

My firm, Hensel Law Office, PLLC specializes in bankruptcy cases and has prevented many individuals in dire financial straits from losing their home. There are many strategies that can be employed to avoid foreclosure. I can explain your options and discuss how a second mortgage can be stripped when filing for Chapter 13 bankruptcy protection. If you are heavily in debt and live in Madison Heights, Royal Oak, Sterling Heights, Clinton Township, Warren or surrounding areas, I will do everything that can be done to protect your assets.

I will also provide you with dedicated and highly skilled legal support throughout your bankruptcy case. Contact the firm today to learn more!

Client Testimonials

  • Tom was the most professional.

    “I researched 3 attorneys before signing with the Hensel Law Office for my bankruptcy proceedings. Tom was the most professional and he explained all of my questions without trying to make a quick buck on me. I would recommend Hensel Law Office to my friends or family going through a similar difficult situation.”

    Jerry

  • His knowledge and expertise made a very difficult time in our lives much easier.

    “From start to finish our experience with Mr. Hensel was great. He carefully and thoroughly explained the entire process to us and was always available for any questions or concerns we had. His knowledge and expertise made a very difficult time in our lives much easier. We are very thankful for his help in our situation.”

    Christine and John

  • You made a difficult experience so much easier.

    “Back a few years ago, you helped me through a bankruptcy. I still tell people how you made a difficult experience so much easier, with your clarity, support, and friendly approach to the law. I'm still very appreciative for all your help – it really helped to pull me out of a difficult place and put my life back on track.”

    Eric

  • Thank you very much for getting us through this very hard time in our lives.

    “I just wanted to thank you very much, for getting us through this very hard time in our lives. You did an excellent job. If anyone I know is in need of a lawyer, we will surely give them your name. Again thanks.”

    John and Linda

  • I greatly appreciate your time and effort.

    “It was a great pleasure and relief working with you through that tough time. I greatly appreciate your time and effort on our case. I will gladly and confidently recommend you to anyone I know facing a tough financial time requiring your expertise.”

    Jay