Stop a foreclosure sale on your home:

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Filing a chapter 13 bankruptcy petition will stop a foreclosure sale on your home that is scheduled or set to take place. If you are able to file for chapter 13, you can prevent the sale from moving forward, and you can propose a plan that would allow you to pay your ongoing liabilities over time. You should speak with a bankruptcy attorney to learn more about your options. 

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Bankruptcy & the automatic stay: Effect on Foreclosure

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When you file a bankruptcy, the court will issue an order for relief that includes an "automatic stay" that will prevent legal collection activities, including foreclosure, from immediately moving forward. The automatic stay prevents foreclosure, garnishment, lawsuits, and other legal collection activities from moving forward . 

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Chapter 13 Bankruptcy Overview:

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Chapter 13 bankruptcy is designed to give you breathing room so that you can propose a realistic plan to pay back some of your creditors. It is based on your income and expenses. If you have a home that is in arrears or you are facing foreclosure, you may be able to use chapter 13 to make one payment each month that would include your mortgage payment, plus an additional amount that would allow you to catch up your mortgage arrears over time. This monthly payment also includes vehicle loans, unsecured debt such as credit cards and medical bills, and often your legal fees as well. This process can allow you to get current on your mortgage over time, while also dealing with your other creditors in one combined process. While chapter 13 may not always be a perfect fit for everyone, it is an option that should be discussed with a bankruptcy attorney if you are dealing with any of these issues. 

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Please let me know if you would like to speak with an experienced chapter 13 bankruptcy attorney. I can provide you with a referral to a chapter 13 attorney that can provide you with a complete overview of your options and can explain how the chapter 13 process works.