If you are facing foreclosure on your home from a mortgage lender, filing for bankruptcy can help protect your most valuable asset. Chapter 13 of the Bankruptcy Code allows a debtor to keep their property and pay debts over time, avoiding foreclosure. To discuss your options, schedule a free, confidential consultation with Meredith Law Firm.
How Do I Avoid Foreclosure With Bankruptcy?
If you are struggling to repay mortgage payments to a lender and are at risk of losing your home, filing for bankruptcy is a viable option to stop the foreclosure process. Here in South Carolina, the foreclosure process is a state court judicial procedure initiated by your mortgage company when you fall behind in your monthly mortgage payments.
This is the process by which your mortgage company sells your home through a court process if you fail to make your payments. At the beginning, you will receive a Summons and Complaint from your lender. This will be followed by a hearing where a sale date is set. Finally, there will be an auction on the day of the sale. After that you must leave or face eviction from the property.
Bankruptcy law is designed to stop a foreclosure and provide a homeowner a safe mechanism to keep their residence. As a homeowner, you can file a bankruptcy case under Chapter 13 reorganization to keep your home without getting permission or approval from your mortgage company.
Schedule a free and fully confidential consultation with Meredith Law Firm, and we’ll discuss your options with you.
What Is Chapter 13?
Chapter 13 allows a debtor to keep their property and pay debts over time, usually three to five years. It allows for individuals with a regular income to avoid or stop a foreclosure by repaying the missing mortgage payments over several years. You can also seek a loan modification to alter the terms of the loan with the lender’s permission and agreement.
The most important thing with foreclosure is that you must file a bankruptcy case before the property is sold at the foreclosure sale. After the sale is concluded, the former homeowner is only a squatter with no more rights to the property.
Chapter 13 allows you to catch up on your missed mortgage payments over time. Here at Meredith Law Firm, we will work together to determine the best strategy based on your circumstances and budget.
If you find yourself in a situation where you are facing foreclosure on your home, filing for bankruptcy enters an automatic stay, which prevents the foreclosure. Schedule a free, confidential consultation with Meredith Law Firm, and we’ll discuss your options with you.
Speak to Us About Avoiding Foreclosure With Bankruptcy
If you would like to learn more about avoiding foreclosure on your house with bankruptcy, speak to our experienced team at Meredith Law Firm. We are a debt relief agency with considerable experience in bankruptcy law.