Due to COVID-19, we are offering consultations via telephone and video conference. In office consultations are also available via appointment with mask and social distancing requirements observed. We are open and here to help people in these trying times. Please don’t hesitate to call us if you have any questions! Learn More.

Get Financial Freedom Personalized & Skilled Representation

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

  • He is respectful and down to earth with his approach to very complicated legal matters.

    “Hensel Law Office has helped me during a very difficult time in my life. Tom has done a wonderful job with my Chapter 13 case. He always kept in touch with me and explained everything in terms I could understand. I would highly recommend Mr. Hensel to anyone who is facing any bankruptcy filing. He is respectful and down to earth with his approach to very complicated legal matters.”

    Sandra

  • Sincerest thanks for all of your help in affording me what I consider a real "fresh start."

    “I wanted to give you my sincerest thanks for all of your help in affording me what I consider a real "fresh start". My divorce was unfortunate but definitely a needed change for the better. However, the financial side of things still seemed to keep that past linked, which makes this an enormous weight lifted. I just can't believe the impact it's made on my outlook with...everything.I will be sure to keep your business cards handy to distribute along with highly favorable words of recommendation should the needs arise.Thank you again for your time and professional guidance.”

    Michelle

  • 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

  • Utmost dedication and professionalism.

    “I chose to work with Tom Hensel after meeting with several big name firms in the area. Tom handled my unique situation with the utmost dedication and professionalism. The personal service I received from him made all the difference in my case. My only regret is that I didn't call him first.”

    Craig

  • 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