Home Equity Line of Credit vs. refinance?

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I am currently 13th in the chapter I put 10/04. I have a house with about 100K in equity. I would pay my way out of BK in the brand 36 months (16 KB), you pay the second mortgage (which reduced the assistance payment, $ 7,450) and pay a portion of my student loans. What better way to refinance or HELOC? I will also be entitled to any HELOC BK? All answers are appreciated

3 Comments
  1. Reply
    Akbar B
    May 18, 2011 at 9:31 am

    A refinancing with cash out is your best option. Use the cash to pay off all your loans and keep some cash on hand, get a 30 year mortgage and you will only have one single payment to make and if its 30 years the payment will be lower too and you should be able to qualify as you have equity in the house and you will need to show a steady job too to assure the lenders that you are capable of paying the monthly payments on the new mortgage. Good luck.

  2. Reply
    Movie Spice
    May 18, 2011 at 9:34 am

    You probably wont be able to refinance while still in bankruptcy status.

  3. Reply
    Brad T
    May 18, 2011 at 9:47 am

    depending on your MORTGAGE PAYMENT history alone, you can definitely refi out of a chap 13 if you still have a decent credit score, prolly 600 or above. do a straight refi for now, as a HELOC is nothing but a HUGE credit card attached to your house. after this bankruptcy you probably wouldn’t put $ 5,000 on a credit card, why put your current debt owed on a revolving balance that has no set term to be paid off?!?!

    ps if mortgage brokers solicit you online here to take out a HELOC, be wary.

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