TAMPA BANKRUPTCY ATTORNEY'S
Chapter 13 Bankruptcy Mortgage Modification
The Tampa Bankruptcy Court is now allowing a Chapter 13 Bankruptcy Candidates to file a plan
proposing to pay a homestead mortgage at 31% of the household income. The Mortgage Modification
is still subject to a mediation or agreement with the mortgage holder or bank but this opens a new
world of power in Chapter 13 Bankruptcy and can go a long way to have your Tampa Bankruptcy
Attorney help stop foreclosure and save your home.
How Chapter 13 and Mortgage Modification work together:
This is a Chapter 13 Bankruptcy and is bound by the same rules of Liquidation Analysis and the
Means Test or Test of Average Income, but we add one extra element. From the start of the Chapter
13 Plan, the plan requires you to start paying 31% of your net income to the mortgage lender. This
amount should pay your principal amortized of 360 months, an escrow for your taxes and insurance
and a meaningful interest payment (typically more than 1.25%). We would petition the Court to order
the mortgage lender into a mediation. At mediation we would re-evaluate the proposed payment and
modification with the lender and attempt to reach a permanent modification. This modification may
include a principal reduction.
Mortgage Lenders seem far more likely to allow a permanent mortgage modification in bankruptcy.
Outside of bankruptcy there is only 4% success rate on mortgage modifications. Inside Chapter 13,
mortgage modifications have a 75% success rate.
Click Here to learn about an Mortgage Modification and Chapter 13 Bankruptcy
Chapter 13 Bankruptcy Mortgage Modification
The Tampa Bankruptcy Court is now allowing a Chapter 13 Bankruptcy Candidates to file a plan
proposing to pay a homestead mortgage at 31% of the household income. The Mortgage Modification
is still subject to a mediation or agreement with the mortgage holder or bank but this opens a new
world of power in Chapter 13 Bankruptcy and can go a long way to have your Tampa Bankruptcy
Attorney help stop foreclosure and save your home.
How Chapter 13 and Mortgage Modification work together:
This is a Chapter 13 Bankruptcy and is bound by the same rules of Liquidation Analysis and the
Means Test or Test of Average Income, but we add one extra element. From the start of the Chapter
13 Plan, the plan requires you to start paying 31% of your net income to the mortgage lender. This
amount should pay your principal amortized of 360 months, an escrow for your taxes and insurance
and a meaningful interest payment (typically more than 1.25%). We would petition the Court to order
the mortgage lender into a mediation. At mediation we would re-evaluate the proposed payment and
modification with the lender and attempt to reach a permanent modification. This modification may
include a principal reduction.
Mortgage Lenders seem far more likely to allow a permanent mortgage modification in bankruptcy.
Outside of bankruptcy there is only 4% success rate on mortgage modifications. Inside Chapter 13,
mortgage modifications have a 75% success rate.
Click Here to learn about an Mortgage Modification and Chapter 13 Bankruptcy
Tampa's Best Bankruptcy Attorney: 1112 E. Kennedy Blvd. * Tampa, FL 33602 * T 813.222.8210 * F 813.222.8211
www.Galewski.com
www.GalewskiTitle.com
www.Galewski.com
www.GalewskiTitle.com
Free Bankruptcy PDF Packet
Chapter 7
Chapter 13
Chapter 7
Chapter 13
Tampa Bankruptcy Attorney 1112 E. Kennedy Blvd, Tampa Fl 33602, Galewski Law Group, P.A.
Tampa Bankruptcy Attorneys at the Galewski Law Group provides Chapter 7, Chapter 11 and Chapter 13 bankruptcy, foreclosure defense and loan modification representation to clients
throughout the Tampa Bay Area in cities that include Tampa, Clearwater, Tarpon Springs, St. Petersburg, Palm Harbor, Dunedin, Lutz, Holiday, Safety Harbor, Oldsmar, Sarasota, Crystal Beach,
Bradenton, Brandon, Plant City, Trinity, Lakeland, Spring Hill, New Port Richey, Port Richey, Largo, Seminole, Pinellas Park, Ozona and throughout Hillsborough County, Pinellas County, Manatee
County, Pasco County, Polk County, Sarasota County and Hardee County. 1112 E. Kennedy Blvd. * Tampa, FL 33602 * T 813.222.8210 * F 813.222.8211
throughout the Tampa Bay Area in cities that include Tampa, Clearwater, Tarpon Springs, St. Petersburg, Palm Harbor, Dunedin, Lutz, Holiday, Safety Harbor, Oldsmar, Sarasota, Crystal Beach,
Bradenton, Brandon, Plant City, Trinity, Lakeland, Spring Hill, New Port Richey, Port Richey, Largo, Seminole, Pinellas Park, Ozona and throughout Hillsborough County, Pinellas County, Manatee
County, Pasco County, Polk County, Sarasota County and Hardee County. 1112 E. Kennedy Blvd. * Tampa, FL 33602 * T 813.222.8210 * F 813.222.8211
Bankruptcy Updates:
New Bankruptcy Court Filing Fees start November 1, 2011:
• Chapter 7 $306
• Chapter 13 $281
• Chapter 11 $1,046
RECENT UPDATES:
In order for your Tampa bankruptcy lawyer to correctly advise between filing a Chapter 7, Chapter 11 or Chapter 13 Bankruptcy, we must
administer two tests in bankruptcy. The first test is called liquidation analysis and is discussed in the FAQ section of the web page. The
second test is based on average family income and is a test to determine if the bankruptcy candidate has discretionary income. This is called
the means test.
The income threshold is based on average NET household income and changes regularly. The latest amounts come in to effect on November
15, 2011 and for Florida they are:
Number of People in the home Allowed Net Income
1 $40,766
2 $49,729
3 $52,840
4 $62,742
Add $7,500 for each additional household member.
Note that the net income allows deductions for certain regular expense that will remain after bankruptcy including but not limited to mortgage
payments and car payments. Please contact your Tampa Bankruptcy Attorney for a free consultation in person or over the phone to
determine how your income and expenses fit into the means test.
For each family size other than an individual the amount you may make has decreased. This s a incentive to file sooner rather than later for
most families.
New Bankruptcy Court Filing Fees start November 1, 2011:
• Chapter 7 $306
• Chapter 13 $281
• Chapter 11 $1,046
RECENT UPDATES:
In order for your Tampa bankruptcy lawyer to correctly advise between filing a Chapter 7, Chapter 11 or Chapter 13 Bankruptcy, we must
administer two tests in bankruptcy. The first test is called liquidation analysis and is discussed in the FAQ section of the web page. The
second test is based on average family income and is a test to determine if the bankruptcy candidate has discretionary income. This is called
the means test.
The income threshold is based on average NET household income and changes regularly. The latest amounts come in to effect on November
15, 2011 and for Florida they are:
Number of People in the home Allowed Net Income
1 $40,766
2 $49,729
3 $52,840
4 $62,742
Add $7,500 for each additional household member.
Note that the net income allows deductions for certain regular expense that will remain after bankruptcy including but not limited to mortgage
payments and car payments. Please contact your Tampa Bankruptcy Attorney for a free consultation in person or over the phone to
determine how your income and expenses fit into the means test.
For each family size other than an individual the amount you may make has decreased. This s a incentive to file sooner rather than later for
most families.
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