Home foreclosure can be a painful, traumatic experience. As a result, individuals facing the loss of their home often scour the Internet for a program to stop foreclosure and cure their financial ills.
Many people searching for a program to end foreclosure, find that Chapter 13 bankruptcy is a viable solution for them. Chapter 13 could stop your foreclosure in its tracks and allow you more time to catch up on late mortgage payments.
Is Chapter 13 right for you? For a free consultation about stopping your foreclosure through Chapter 13 bankruptcy, fill out the form below to connect with a local bankruptcy lawyer.
When foreclosure is eminent, one of the most effective methods to stop the process can be Chapter 13 bankruptcy. When you file for Chapter 13, a protective court order known as the automatic stay immediately kicks in. The automatic stay:
In addition to the automatic stay, the bankruptcy court will help you consolidate your debts into a single repayment plan. You will make monthly payments based on what you can afford to a bankruptcy trustee, who deals with your creditors so you don't have to.
The typical Chapter 13 process lasts between three and five years. If, during that time, you make regular payments on your debts, the bankruptcy court may forgive some of your remaining unsecured debts.
In addition, over the course of a few years, you may catch up the missed mortgage payments that led your lender to take foreclosure action, thus putting a permanent end to your foreclosure proceeding.
While Chapter 13 can help stop home foreclosure, it does require that you have a relatively steady source of income that allows you to make debt payments while affording basic living necessities.
Your state may also have specific bankruptcy laws that govern Chapter 13 eligibility. For information on local bankruptcy laws, contact a bankruptcy attorney in your area.
By filing for Chapter 13, you may also be able to:
Thus, Chapter 13 is not just a program designed to stop foreclosure. It also serves as a powerful method of debt relief for people who have been overwhelmed by numerous bills.
In addition, bankruptcy no longer carries the stigma some people used to associate with the practice. Millions of Americans have successfully filed for bankruptcy, which can be prompted by common life events such as divorce, medical emergency, or job loss.
To learn more about stopping foreclosure through Chapter 13, connect with a local bankruptcy lawyer today. Simply fill out the free case review form below to get started now.