Chapter13 Principal PayDown Plan
Chapter 13 Principal Pay Down Plan
By Christopher H. McCormick
Dated August 25, 2011
I just read an article that President Obama is considering another refinance plan for federally insured mortgages as one solution to the mortgage crisis. Unfortunately it will not address the real problem of underwater properties throughout the country and any program administered thru banks will have so many requirements and government mandates like the failed HAMP program it will not solve the crisis. The NACBA proposed Chapter 13 Bankruptcy Principal Pay Down Plan is a real solution that President Obama can implement for these Federally insured mortgages without an act of Congress and will unleash an untapped resource so far the talented and devoted Chapter 13 bankruptcy attorneys in this country to devise plans for homeowners that will save their homes by reducing the principal balances of their loans, removing fully unsecured second mortgages and other liens on their homes and eliminating or reducing unsecured debt. This is a real solution that will be supervised by Chapter 13 Trustees throughout the country and approved and monitored by the Bankruptcy Courts. If a plan satisfies the court’s criteria it will be approved and lenders will not be able to block them. This solution is precisely why Bankruptcy Law came into existence over 300 years ago. Bush and the Republicans tried to vilify the bankruptcy process and bankruptcy attorneys back in 2005, but meanwhile it was on their watch that the Lenders and Wall Street created this housing and foreclosure crisis which affects all homeowners in the US whether they are behind on their mortgage or not. Please go to the following link to learn more about this innovative new Chapter 13 Plan: https://netforum.avectra.com/temp/ClientImages/NACBA/0b19761d-8b95-476e-95e9-6cb2c08f82ae.pdf . I urge all homeowners to contact your Congress person and Senators to advocate for this plan and directly contact the Obama administration to adopt it.