It might – at first glance – seem like a reverse mortgage is the easier option for paying off credit cards; it’s simple to qualify for, it allows you as a homeowner to stay in your home, and to pay off existing debt. However, reverse mortgages are not well understood by most individuals; the fees on a reverse mortgage are higher than a conventional mortgage. The loan balance gets larger over time while the value of your estate may decrease. Medicaid and Social Security can be affected if too many funds are withdrawn (and not spent) in one month. Most importantly it attaches unsecured debt to your house, putting your home in jeopardy.
Many individuals saddled with substantial debt shy away from filing for bankruptcy believing bankruptcy will make them lose their home. This is not necessarily true. A competent bankruptcy attorney will tell you if your home is protected once the attorney knows (1) the value of your home, and (2) what is owed on any mortgages (or liens). With thirty years experience in Bankruptcy law, attorney Susan Gray will advise you before the case is filed exactly what will happen—what is protected and what is not. Eliminating any surprises, and giving you peace of mind. Instead of rejecting bankruptcy out of fear, and walking in to a mortgage that is not ideal, call our office for sound advice. Whether our clients’ debts are personal or business related. Whether we decide liquidation or reorganization of debt is the best option for our client, we make sure our clients get a “fresh start” to walk into a future without the looming burden of unpaid bills.
Call us today for a free phone consultation 440 331 3949