Misapplication of Mortgage Payments in a Chapter 13 is a Discharge Violation Injunction


In a Chapter 13 bankruptcy, the bankrupt debtor makes monthly payments to the Chapter 13 Trustee in order to, usually, save their home from foreclosure.  If the mortgage company does not apply the monthly payments correctly, the mortgage company has violated the discharge injunction put in place by the bankruptcy.  When the mortgage company misapplies payments while in bankruptcy, the mortgage company can be sued by the bankrupt debtor for compensatory damages, punitive damages, and attorney fees.

If you want to discuss bankruptcy or believe you have a mortgage issue, feel free to contact our law office at 816-524-4949 or visit our website at www.Hoorfarlaw.com.

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