One way you may be able to stop foreclosure fast is filing for Chapter 13 bankruptcy, which lets you reorganize your debts. What this does is take all your debt including your home loan, credit card debt and any other loans you have and change the way they are structured so they still get paid and everyone is satisfied.
Banks and other lenders do not want to take possession of your home if they do not have to. They would rather work with you to get you caught up with your payments so they do not have to eat part of the cost of your loan and go through all the work to try to sell the home to recoup their money. If you file for Chapter 13 bankruptcy, you may be able to stop foreclosure fast. There are things you need to know before you do this, though.
How can bankruptcy stop foreclosure?
If you want to stop foreclosure fast, talk to a lawyer specializing in bankruptcy law. He will be able to help you get your finances back under control. If you have credit card debt or debt from personal loans, a bankruptcy lawyer can also be of help to you.
The first thing he will do is figure out if you are able to file for bankruptcy based on the existing standards. He will take into account your debt to income ratio and your ability to pay your debts. Not everyone is able to qualify for bankruptcy.
The hardest part of the process is finding a good attorney and making sure you qualify for bankruptcy. The rest is a little easier. When your attorney files the paperwork to start bankruptcy, you can stop home foreclosure.
It will not take more than a few days for the bankruptcy to go into effect, making it illegal for the companies you owe to call or write to you. They will have to contact your attorney instead. The attorney will get your debt restructured to the satisfaction of your lenders and get your finances back in order.
Help to stop foreclosure fast
The reason this helps stop foreclosure now is your mortgage company cannot file foreclosure papers on your home. They will be encouraged to work with your bankruptcy attorney and the courts to reorganize your loan and develop a payment plan that you both are happy with and that is realistic for you to pay.
If they are not happy with the reorganization, they can go ahead with their foreclosure process but only after trying to work something out. The bankruptcy process takes a lot of time and energy on the part of you, your attorney and your creditors. You will need to meet with your attorney often and attend money management counseling in most cases.
Filing for bankruptcy is one way to stop foreclosure fast. It is a serious step to file for Chapter 13 bankruptcy so you do not want to take it lightly or move forward without exhausting all your other options first.
If you have no other choice, filing of bankruptcy may be the key to getting your finances back in order. Do your research and find a qualified bankruptcy attorney to help you through this process that allows you to stop foreclosure fast.