not reaffirming home equity in bankruptcy

What is the name of your state? Florida
My husband is filing bankruptcy and his lawyer advised him to only sign a reaffirmation with our 1st mortgage co. She said not to sign with our home equity loan since in the event of our becoming unable to pay the equity loan payments, it would be protected due to the bankruptcy. Now, my question is this: If for some reason, we could not make the payments on the equity loan, but the payments on the primary mortgage were current, what would the legal ramifications be ? Would the equity loan co. just put a lean on our property? Or, could they force the sale of our home? The attorney's reasoning was that if we defaulted we would not owe, it would revert to becoming a discharged debt in the bankruptcy. Also, what would the statute of limitations be on such a thing? Thanks!

[HomeGuru]

[quote]Originally posted by mom2hbc
[b]What is the name of your state? Florida
My husband is filing bankruptcy and his lawyer advised him to only sign a reaffirmation with our 1st mortgage co. She said not to sign with our home equity loan since in the event of our becoming unable to pay the equity loan payments, it would be protected due to the bankruptcy.

**A: what exactly does this mean "protected due to the BK?" How did your attorney explain this to you? Your filing of BK does not protect you from the 2nd mortgage lender.
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Now, my question is this: If for some reason, we could not make the payments on the equity loan, but the payments on the primary mortgage were current, what would the legal ramifications be ?

**A: the home equity lender has the exact same foreclosure rights as the first mortgage lender. Read your mortgage note.
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Would the equity loan co. just put a lean on our property?

**A: they already have a lien on the property in the form of a mortgage because they are a secured creditor. Your property was used as collateral.
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Or, could they force the sale of our home?
**A: see above.
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The attorney's reasoning was that if we defaulted we would not owe, it would revert to becoming a discharged debt in the bankruptcy. Also, what would the statute of limitations be on such a thing? Thanks!

**A: it is possible to discharge the home equity loan in BK, but you must not have any equity over and above your first mortgage and the attorney must know how to do it.

Ok, that's what I thought, thanks for your help!