What is “Lien Stripping” in Bankruptcy? (or can I really get rid of a second mortgage?)

Due to the decline in housing prices in a rarely used bankruptcy technique has begun to get additional use. The process of “lien stripping’’ involves a homeowner filing under Chapter 13 (“payback plan”) asking the Bankruptcy Court to turn a secured second mortgage into a unsecured debt. This would eliminate monthly payments on the second […]