How A Bankruptcy Can Save Your Home

: Chris Lee Law Firm

  Filed under: Foreclosures

Stop ForeclosureAfter the past few years of one of the worst housing market slumps in decades, many have become accustomed to seeing “For Sale” or “Foreclosure” signs around the neighborhood. Nearly everyone knows at least one person who has ended up in over their head with  mortgage debt, fighting for a way to save their home. For some, refinancing or forbearance agreements have been successful in helping stave off the threat of foreclosure, but many others have not been so lucky. Between stingy lending practices and foreclosure scams, many homeowners have turned to bankruptcy for  help saving their home.

Bankruptcy Benefits

One of the biggest advantages in using bankruptcy over other methods for fighting off a foreclosure is how fast the process is stopped. Once a bankruptcy petition is filed the automatic stay order is issued, requiring that the mortgage lender stop both the foreclosure process as well as any further collection attempts. A bankruptcy automatic stay is a quick way to peace of mind for many homeowners.

After the automatic stay halts the foreclosure process, the homeowner and bankruptcy court have time to begin a debt resolution plan, such as a Chapter 13 repayment plan. The Chapter 13 plan allows for a homeowner to get caught up on missed mortgage payments and delinquency fees without the worry of an impending foreclosure. In some cases, the Chapter 13 plan can even negotiate the terms and conditions of the mortgage to help lower the monthly mortgage payment.  As long as the payments are made on schedule, the home is fully protected from the hands of the lender.


Are you a candidate for bankruptcy?
Would you like to find out if bankruptcy is the right option for you? Try our Free Online Bankruptcy Evaluation. 4 easy steps to see if bankruptcy could be the right option for you!
  • Step 1
  • Step 2
  • Step 3
  • Step 4
Please Select Each Box That Applies To You
Creditor Harassment
Loss of Income
Disability or Illness
Current Expenses
Auto Loans
Credit Cards
Medical Bills
Payday Loans
Do you have any additional information you would like to share?
Contact Information