One of the worse financial predicaments to be in is having the bank foreclose on your house. As soon as the mortgage begins to fall into default most individuals live in the fear of losing their home. This is the time that those in this situation begin to think about bankruptcy. Usually it is immediately following the foreclosure notice. It is highly important to seek out the services of a College Station bankruptcy attorney. You need to see if bankruptcy is your best course of action, and whether a Chapter 13 bankruptcy could stop the foreclosure.
State Laws Vary
You need to know the foreclosure laws for your state. In some states the laws are judicial foreclosures, while in other states it is non judicial foreclosure. No matter what state you live in the lender must give you proper notice according to the laws they are under that they intend to foreclose.
Once the sale date has been set for the sale of your home you will be notified of this. Once you start your Chapter 13 bankruptcy proceedings the foreclosure sale can be stopped. You can now make arrangements via your bankruptcy to catch up on the arrears of your mortgage payments so the sale will not go through. With a proper re-payment plan in place under the Chapter 13 bankruptcy it can allow for you to catch up on the mortgage arrears while at the same time paying your regular monthly payments.
Don’t just assume that because you have received notice of foreclosure or because you are filing for bankruptcy that you will automatically lose your home.