[Gymgirl247]

My 73 year old mother has some credit card debts she has tried to pay off but cant. All she gets is social security and it isn't enough to pay them and her other bills. She owns her home but recently bought a home (with a mortgage) for my brother (he makes the payments but its in her name). Can she file chapter 7 only on the credit cards, without filing on the mortgate? My brother wants her to file chapter 13, telling her that the house payment will drop giving him more money to help her. What would benefit HER the most? Thanks for your help.

[Fr_Chuck]

first no, filing chapter 13 will not lower a house payment, it will lower credit card payments, and sometimes a car payment if they revalue the car.

But when she files bankruptcy she has to file and list all of her debts,
The two houses will be listed as the debt on the one house, and the rent he pays ( the payment) will be considered income against these debts.

Depending on the value of both homes, the mortgage on the homes, she may or may not be allowed to keep both, or either, and maybe none of them

Two things, first she needs to sit down with a bankruptcy attorney to find out the laws and rules.

Second your brother does not understand it seroiusly and he needs to talk to an attorney also.