Chapter 7 question

[TBush]

What is the name of your state? Ohio

My mother and stepfather are considering filing for chapter 7. The situation is this. They own a small business that has struggled for the past several years. In an effort to keep it running, they have accumulated an enormous amount of debt (mostly credit cards). When meeting with an attorney recently, he told them that due to the amount of equity in the house (well over $5000), he recomended that they sell it, live off of the equity and file after that cash is gone. My stepfather is 70 years old and has alzhiemers. My mother continues to work (she is only 62). They are not behind on the house and have never had a problem making the payments. Is there any way for them to keep the house? ANY advice or alternatives would be GREATLY appreciated.

[HomeGuru]

Originally Posted by TBush

What is the name of your state? Ohio

My mother and stepfather are considering filing for chapter 7. The situation is this. They own a small business that has struggled for the past several years. In an effort to keep it running, they have accumulated an enormous amount of debt (mostly credit cards). When meeting with an attorney recently, he told them that due to the amount of equity in the house (well over $5000), he recomended that they sell it, live off of the equity and file after that cash is gone. My stepfather is 70 years old and has alzhiemers. My mother continues to work (she is only 62). They are not behind on the house and have never had a problem making the payments. Is there any way for them to keep the house? ANY advice or alternatives would be GREATLY appreciated.

**A: that's not a large amount of equity at all.

[TBush]

Originally Posted by HomeGuru

**A: that's not a large amount of equity at all.

The amount of equity excedes $5000, which if I understand Ohio's law corectly, is all that can be exempted. The amount is somewhere in the nieghborhood of $40,000 (estimated).