When filing bankruptcy, \u201csurrender\u201d means \u201csurrender.\u201d<\/p>\n
That is the message from Tampa bankruptcy judge Michael G. Williamson in a recent Florida bankruptcy case, in which Lisa Metzler of Gibsonton declared bankruptcy in 2012. She was delinquent on her mortgage and had no way to pay it or her other debts. She agreed to surrender her home to the lender, Wells Fargo, and allow them to proceed with foreclosure.<\/p>\n
Metzler’s incentive to surrender the home came from one of the finer points of bankruptcy law. Debtors filing bankruptcy are entitled to certain \u201cexemptions\u201d \u2014 property not subject to liquidation to satisfy creditors’ claims. Normally, this includes $1,000 worth of personal property, such as furniture and jewelry. However, in cases where a home is surrendered, that exemption is increased to $5,000.<\/p>\n
Apparently, however, Metzler had no intention of actually surrendering her home. After agreeing to do so in federal bankruptcy court, she hired an attorney to (more…)<\/span><\/a><\/p>\n","protected":false},"excerpt":{"rendered":" When filing bankruptcy, \u201csurrender\u201d means \u201csurrender.\u201d That is the message from Tampa bankruptcy judge Michael G. Williamson in a recent Florida bankruptcy case, in which Lisa Metzler of Gibsonton declared bankruptcy in 2012. She was delinquent on her mortgage and…<\/span><\/p>\n