Can Bankruptcy Stop Foreclosure?
Creditors and lien holders have the right to repossess your property if you are no longer making payments on a secured loan such as a mortgage. When a home is involved, they may begin foreclosure proceedings after just one or two missed payments. Fortunately, there are steps you can take to delay or prevent foreclosure.
At the Law Offices of Charles X. Delgado, we help people in California who are facing foreclosure. After analyzing your finances, we will discuss your options, which generally include loan modification or filing for bankruptcy. Our experienced attorney will give you the information you need to make an informed decision about your home. Please call 951-795-4058 to schedule an appointment with a Temecula home foreclosure attorney today. Your consultation is free.
Murrieta Foreclosure and Bankruptcy Attorney
There are two types of foreclosure processes: judicial and nonjudicial. The nonjudicial process requires a 90-day notice of default, plus 20 days notice of sale. You can get help during that period by paying the default amount, filing for bankruptcy or modifying the loan.
A judicial foreclosure is when a lawsuit is filed by the lender; this often happens with commercial loans. The lender seeks a judgment to allow the property to be sold or auctioned. Typically, the lender will attempt to recover the difference between the mortgage and the amount they receive from the property sale from the borrower. Speak with a bankruptcy lawyer today to see if you qualify for bankruptcy to stay this proceeding.
Filing for bankruptcy stops foreclosure, at least temporarily, by giving you an automatic stay. During this time, no creditors can take collection actions against you. The automatic stay will delay foreclosure, giving you an opportunity to restructure your mortgage payments. Chapter 13 bankruptcy usually allows people to keep their homes because the debt is reorganized and the debtor makes lower payments for three to five years.
For a free consultation with a Murrieta foreclosure and bankruptcy attorney, please call 951-795-4058 or contact us online.
