Let Bankruptcy Judges Modify

Carmen Dellutri's picture

Bankruptcy Judges want to disspell the myth about how these mortgages are really going to be valued.

0 Article Comments
Gov. Martin OMalley's picture

The Senate must act quickly to reform bankruptcy law to allow judges to alter the terms of home loans.

0 Article Comments
Michael G. Doan's picture

Its a no brainer for anyone wanting to save their home from foreclosure.

0 Article Comments
John Conyers Jr's picture

It represents one of the most tangible and productive steps we can take to limit the fallout.

0 Article Comments
Hon. J. Rich Leonard's picture

Homeowners are the only ones who cannot modify the terms of their secured debts in bankruptcy.

0 Article Comments
Matthew Mason's picture

Voluntary consumer loan mods, typically involving rate reduction and decrease in principal were nonexistent.

0 Article Comments

There is a Better Option

Barry Jay Epstein's picture

[L]ittle thought is being given to future consequences, intended or not, of this machination.

0 Article Comments
Michele M. Bachmann's picture

A seriously misguided bill that will actually add more instability.

0 Article Comments
barbed-wire-smile's picture

The passage of such legislation would be an unmitigated disaster for our economy.

0 Article Comments
Alan Schwartz's picture

There are many others things that can be done to help debtors retain their homes instead of bankruptcy.

0 Article Comments
James Pethokoukis's picture

No prudent banker will ever bet on the lower middle class ever again if this passes.

0 Article Comments
Andrew M. Grossman's picture

Fundamentally, strip-down is a poor "fit" for the problem of rising foreclosure rates.

0 Article Comments

Your opinion

To be eligible for mortgage modification in chapter 13, a debtor should first attempt to reach an agreement with the lender outside of bankruptcy court.

Agree Strongly
44% (104 votes)
Agree Somewhat
23% (54 votes)
Disagree Somewhat
7% (17 votes)
Disagree Strongly
25% (59 votes)
Total votes: 234
Date published: Mar 16, 2009

Bankruptcy judges should be allowed to modify only subprime residential mortgages.

Agree Strongly
27% (43 votes)
Agree Somewhat
11% (17 votes)
Disagree Somewhat
11% (17 votes)
Disagree Strongly
52% (82 votes)
Total votes: 159
Date published: Mar 13, 2009

If a bankruptcy judge allows modification of a debtor's residential mortgage and the debtor later defaults, resulting in dismissal, the underlying security interest should revert back to its original terms.

Agree Strongly
50% (82 votes)
Agree Somewhat
23% (37 votes)
Disagree Somewhat
13% (21 votes)
Disagree Strongly
14% (23 votes)
Total votes: 163
Date published: Mar 13, 2009

Issue 2



See all of Issue 1 'Bankruptcy or Bailout?'
See issue 2 'Mortgage Cramdown'

Date published: Mar 11, 2009

Let Bankrutpcy Judges Modify

James H. Carr's picture

Modification of loan terms, in a bankruptcy proceeding, could offer immediate relief to homeowners.

0 Article Comments
Wendell Sherk's picture

Mortgage bankers oppose the bill even though it could ultimately benefit their industry.

0 Article Comments
John Dodds's picture

[Mortgage modification in bankruptcy] will be a critically important tool for reducing the numbers of foreclosures...

0 Article Comments
Brad Miller's picture

We’ve spent a year and a half on failed efforts to encourage voluntary modifications.

0 Article Comments
Henry J. Sommer's picture

Helping Families Save Their Homes in Bankruptcy Act. . .could save as many as 600,000 families from losing their homes.

0 Article Comments
Hon. Jacqueline P. Cox's picture

I believe this bill provides sensible and much-needed modifications to the Bankruptcy Code

0 Article Comments
Mark Zandi's picture

Senator Durbin's legislation... will significantly reduce the number of foreclosures."

0 Article Comments
Unattributed's picture

The [Durbin] bill also undoes a longstanding injustice.

0 Article Comments
Doris Dungey's picture

It will... actually help "stabilize" the residential mortgage market in the long term.

0 Article Comments

There is a better option

David G. Kittle's picture

If these provisions are enacted, there will be significant consequences for future borrowers, ...as well as, the entire American economy.

0 Article Comments
Unattributed's picture

The best way to shorten the period of pain is to let the home market correct itself

0 Article Comments
WSJ Opinion Journal's picture

Imagine how it will be when markets respond by setting mortgage interest rates like those on credit-card debt.

0 Article Comments
Mark S. Scarberry's picture

Permitting home mortgage strip down would likely cause difficulties in the secondary mortgage market...

0 Article Comments
Hon. Thomas B. Bennett's picture

I urge caution and restraint in doing anything which attacks what is only a portion of a greater problem.

0 Article Comments
Joseph R. Mason's picture

[M]ortgages and other real assets are poor candidates for bifurcation in bankruptcy . . .

0 Article Comments

Your Opinion

Legislation to permit bankruptcy judges to modify residential mortgages should address the appropriate valuation methods and procedures.

Agree Strongly
69% (49 votes)
Agree Somewhat
20% (14 votes)
Disagree Somewhat
6% (4 votes)
Disagree Strongly
6% (4 votes)
Total votes: 71
Date published: Mar 13, 2009

Allowing bankruptcy judges to modify residential mortgages will further reduce future credit to consumers.

Agree Strongly
25% (17 votes)
Agree Somewhat
13% (9 votes)
Disagree Somewhat
16% (11 votes)
Disagree Strongly
46% (31 votes)
Total votes: 68
Date published: Mar 13, 2009

RSS

Syndicate content