Searching For Foreclosure Alleviation Via A Bankruptcy Proceeding
Are you currently facing real estate foreclosure due to your high amounts of debt? If you are in too deep, Chapter 7 bankruptcy can help you stop foreclosure right now! Also, it might be possible to even save your house and avoid foreclosure completely under Chapter 13 bankruptcy.
Those people who are far behind in their home loan payments might know their mortgage company is making plans for a home auction. Nevertheless, lenders take their time and almost never do this fast. So, you might have the time to seek options like loan forebearance or short sales. Yet, if these things fail you may wish to consider bankruptcy.
When you file for Chapter 13 or Chapter 7 bankruptcy, the judge will issue a Order for Relief that allows for an automatic stay. The automatic stay says your creditors must stop trying to get debt from you and if your home is in foreclosure, the course of action will be delayed until the bankruptcy is settled.
With Chapter 13 personal bankruptcy, you pay off the late or unpaid payments over the length of a repayment plan you may set up. Nonetheless, to qualify you’ll need income to at least meet your payment and to afford the repayment plan. Additionally, with Chapter 13 you can get rid of second or third mortgages. This is due to the issue that your home will no longer have equity to secure them and they can then be classified as unsecured debt and eliminated in the bankruptcy.
Overall, while bankruptcy isn't the best circumstance for many people, it can help you save your house or delay foreclosure. Talk to a seasoned attorney today to see what your very best options are regarding bankruptcy and foreclosure.
About the Author
The Portland bankruptcy attorneys of Northwest Debt Relief Law Firm are committed to helping people throughout both Oregon and Washington get out of debt, including, where appropriate, filing petitions for relief in the United States Bankruptcy Courts. Whether chapter 7 bankruptcy or Chapter 13 is right for you, Northwest Debt Relief Law Firm can help you get a fresh start and get your personal finances back on track.
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