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You either file a new bankruptcy, fixing whatever was wrong with the first, if you can, or refinance or make a deal with the mortgage-holder. Or sell or abandon the house. If anyone tells you to stop making payments on your home to qualify for a loan modification, or to stop foreclosure, they are wrong. Honesty must be your number one priority. If someone tells you not to send your mortgage payment to qualify for a loan modification, don't do it. Lenders will work with you, they are stakeholders in your investment, they are investors in your property, just like you. Please before declaring yourself in bankruptcy talk to your lender.
Bankruptcy is the only thing that can stop foreclosure, however, it is only temporarily. You first negotiate with your mortgage company, if it is not successful, you always have the option to exercise what is called a deed-in-lieu of foreclosure - you send in the key and remove yourself from title, instead of going through a lengthy foreclosure process that would cause additional cost to you and the lender. At the end of a foreclosure, the bank will try to sell off the property, the difference between what you owe the bank and what the bank sold it for, is considered capital gain - meaning you owe taxes on that amount, and the bank will send you a 1099 (in simple terms). However, you always seek legal counsel to assist you. Always, learn the facts before you act. This information, as well as the one above is being provided by someone who has been in the banking and finance industry for over 15 years, and worked for the largest mortgage servicer in the United States. My wife is a former vice president of a bank, and responsible for the foreclosure department of the largest mortgage servicer in the United States, she worked closely with FNMA, Freddie Mac and FHA/HUD years back.
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How bad is it to do a foreclosure and a bankruptcy at the same time?
You technically should not be able to do both at the same time. The bankruptcy should stop the Foreclosure proceedings in its track.
Will chapter 7 bankruptcy stop a foreclosure in California?
Yes, temporarily. Filing for bankruptcy protects your from collection actions taken by your creditors, including foreclosure during the proceedings.
When we file the Motion to reinstate does this stop foreclosure process?
Once this motion is recorded it should stop the foreclosure process. Actually, once the bankruptcy is filed, the foreclosure process should already be stopped.
What kind of options are available for me to stop foreclosure on my house?
Your best option would be to higher a bankruptcy attorney. They can provide assistance in this area even without a decleration of bankruptcy. In fact, often a letter from your attorney threatening bankruptcy will be enough to bring your mortgage holder to the bargaining table, as bankruptcy would automatically stop the foreclosure proceeding and put it in the hands of a judge. If you wish to stop foreclosure on your house, then you have one of two options. Either 1) contact your mortgage company, and attempt to lower your monthly payments, or 2) speak with an attorney, and hope that you have a case.
How do you stop trustee foreclosure sale in a few days in AZ?
The fastest way to stop a foreclosure on short notice is to either cure the debt or file for bankruptcy protection.
How do you get lenders to stop harassing you about payments during foreclosure?
You need to contact your attorney about having them stop. There is no law unless you have declared bankruptcy that they have to stop.
How can bankruptcy help stop a foreclosure?
Filing for Chapter 7 bankruptcy forces all of your creditors to stop harassing you, as all proceedings are temporary put to a halt while the bankruptcy is processed. However, you typically have to take the initiative and show proof of your bankruptcy to the bank for them to stop harassing you.
If you received a dismissal with prejudice on a chapter 13 with a one-year bar can you get around this in order to stop a foreclosure?
It is difficult to get around a dismissal with prejudice and one-year bar in a Chapter 13 case. However, you may be able to explore other legal options or file a new bankruptcy case under different circumstances to try and stop the foreclosure. Consulting with a bankruptcy attorney would be advisable to assess your specific situation and explore all available options.
Can you stop the property from going to foreclosure 2 days before it will be foreclosed on?
Yes, by paying the back payments. Also, filing bankruptcy prior to the foreclosure will normally put a hold on the foreclosure proceedings.
Is bankruptcy the only way to stop a garnishment?
Bankruptcy does not stop garnishment, it only delays it while the bankruptcy stay is in place. If the bankruptcy does not forgive the debt, once the bankruptcy is discharged or dismissed, the lender is likely to reinstate garnishment.The only way to stop garnishment is to pay the balance owed, OR list the debt as part of the bankruptcy and successfully discharge it.
Can filing for bankruptcy stop foreclosure?
Generally speaking, filing for bankruptcy protection temporarily halts ALL collection actions for all creditors, including foreclosures.
How do you stop or postpone foreclosure?
There are several ways to stop foreclosure. Following are the most common ways: 1- Apply for a home loan modification 2- Sell your home using the short sale process 3- File Bankruptcy 4- File an emergency bankruptcy 5- Hire a company to legally stop and postopne the foreclosure sale by challenging the trustee about the legitimacy of the foreclosure process. Ulitmately, always seek the advice of an attorney, credit, and tax professional before you decide what avenue to take to avoid foreclosure.
