Contact a Bankruptcy Lawyer in the Face of Foreclosure

If you are facing foreclosure, a bankruptcy lawyer can help. This is an excellent way to delay or prevent a foreclosure from going through so that you and your family can stay in your home. If you are facing foreclosure, it is important to call us right away so that we can get the process started.

In a Chapter 13 bankruptcy, you are able to file a plan with the court to repay your debts over a period of time. In this scenario, debts are typically repaid over several years. In the plan, creditors often settle for a reduced payoff amount so that at least some of the debt is paid off. The mortgage company will typically take the payments that are in arrears and add them to the balance at the end of the loan.

A Bankruptcy Lawyer Can Help You In Chapter 13 Payment Plans

A bankruptcy lawyer can help you to put your repayment plan in place and present it to the hearing officer, trustee, or judge. Your creditors will have the opportunity to object and ask for more money in both the monthly payments and in the total payoff amount. Your attorney will argue your case and explain why you cannot afford to pay anything additional without being unable to meet your living expense obligations. Once the judge certifies the plan, your creditors have to abide by it which means that your foreclosure will be stopped. The key is that during the repayment period you must continue to make your mortgage payment and creditor payments on time and as agreed. Otherwise, you will be in violation, and they can take you back to court.

A Bankruptcy Lawyer Can Help You Save Your Home in Chapter 7

In Chapter 7 bankruptcy, assets are liquidated in order to pay off outstanding debts. Once we are retained as your bankruptcy lawyer, we will petition the court to keep your primary residence aside so that you can continue living there. This way it does not have to be sold in order to pay off debts. The court will make the final decision after evaluating the amount of equity you have in your home and if it is sufficient to satisfy everything that you owe. Typically, people are allowed to maintain their primary home but rental or vacation properties may need to be sold.

Once a bankruptcy is filed, Chapter 13 or Chapter 7, there is an automatic stay or pause placed on any collection action. This means that if your property is facing foreclosure, the bank will not be able to complete the process until the stay is lifted. It is, however, important that you start the process before the bank takes you to court.

The court will have the ultimate say in what happens with your case, your assets, and your home. Working with an experienced bankruptcy lawyer is important for ensuring that you and your family are protected. We will work with you to ensure that the repayment plan is one you can comfortably live with and if liquidating, that you are able to stay in your primary residence. To learn more about bankruptcy or stopping a foreclosure call Tran Bankruptcy Law today.