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   Susan

  HELOC During Active Chapter 13 Bankruptcy Repayment

  Susan Posted on September 21, 2026 at 2:31 pm   |  State: Illinois  | Total Activities:  12

  I’m reaching out to see what financing options may be available to me while I am currently in an active, confirmed Chapter 13 bankruptcy in Georgia.

  I currently own my home in Augusta, Georgia. My existing mortgage is an FHA 30-year loan with:

  Current balance: approximately $220,695
  Interest rate: 3.75%
  Monthly payment: approximately $1,757
  Estimated home value: approximately $305,000–$307,000

  I am looking to access approximately $20,000–$25,000 of my home equity.

  My strong preference is to keep my existing 3.75% first mortgage and obtain a second-lien product, such as a fixed-rate home-equity loan, second mortgage, or HELOC, if your company has an option available for borrowers who are currently in Chapter 13.

  My bankruptcy attorney has also confirmed that, under the applicable local bankruptcy rule in my case, trustee or court approval is not required before incurring new debt after confirmation, although the new debt would need to be reported to the court afterward.

  Could you please let me know:

  1. Whether you offer a home-equity loan, HELOC, or second mortgage for someone currently in an active Chapter 13;
  2. If not, what other equity-access options you offer without requiring Chapter 13 discharge;
  3. Your minimum credit score, equity/CLTV requirements, and Chapter 13 payment-history requirements; and
  4. Whether you can initially review my situation without a hard credit inquiry.

  I am specifically trying to avoid refinancing my entire first mortgage unless necessary because of my current 3.75% interest rate.

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  View Last Reply:  Susan replied 31 minutes ago  |  Participants:   1 Member |   0 Replies