Steps To Foreclosure Prevention
Foreclosure is something you never want to experience. The process can be embarrassing, disheartening, and all-around harmful. By closing your home and taking it out from under you, the bank can be setting you back for the foreseeable future. Fortunately, we’ve prevented this from happening to our clients time and time again and we will continue to do so for many years to come. Together, we can work to stop this from happening altogether. By filing bankruptcy with the help of our legal professionals, we can delay or end the process before it moves forward. This is why bankruptcy laws are put into place, to protect our citizens from being left out to dry. Generally, how quickly a lender can foreclose on your home can depend on the laws in the state you live in, but we will act swiftly to stop this from happening at the first indication that they want to foreclose.
The Benefits Of An “Automatic Stay”
In most instances, the state will give you an advanced notice so that you can make preparations to pay back your loan or otherwise prepare to evacuate the property in a timely manner. The moment you file bankruptcy through Chapter 13, Chapter 7, or even an emergency bankruptcy petition, the court will issue what is known as an “automatic stay.” This is a very good thing for debtors. These automatic stays will direct your creditors to cease their actions immediately. That’s the beauty of bankruptcy, it gives you the time and resources you need to make things right with your lenders. No matter how long the stay is active for, it takes a fair amount of time for bankruptcy hearings to go through so it will buy you a few months on average.
Buying Time With Chapter 13 Bankruptcy
Chapter 13, in particular, is very helpful to individuals who find themselves in a situation where they are behind on their payments but want to keep their homes for the foreseeable future. In fact, it’s one of the only ways you’ll be allowed to do so. Chapter 13 bankruptcy lets you pay off the unpaid payments throughout over the installments dictated in the Chapter 13 repayment plan you propose. In many cases, we end up making this plan last several years. Even so, you’ll need enough income to meet your current mortgage payment as well as the unpaid payments that were previously missed. Assuming you make all the required payments up to the end of the repayment plan, you’ll avoid foreclosure and keep your home. Many times, we’ll even be able to eliminate your second or third mortgage in lieu of unsupported debt.
These situations need to be addressed on a case-by-case basis, so make sure that you seek out the help of a certified bankruptcy professional before you make any decisions. We have the industry experience and years of legal knowledge to back up every choice we make. Together, we’ll help you keep going back to your home every single night. To find out more about how we can prevent foreclosure on your home, give us a call today.