Can I file Chapter 13 in order to stop a repossession or foreclosure?
When you get behind on your house payments, your creditor, perhaps a mortgage company, savings and loan bank, credit union or even an individual, may foreclose on your property. The number of months you are behind may vary, but at some point the creditor may refuse monthly payments unless you pay all of the arrearages. If you cannot, the entire amount owed on the note may be accelerated and the full amount will be due at once, and your home posted for foreclosure. You should receive proper notice of the foreclosure at least three (3) weeks prior to the actual sale of your home. At foreclosure, the property is sold to the highest bidder, usually the creditor itself. If your mortgage is guaranteed, such as a VA or FHA loan, the creditor will be paid off. The creditor, or its guarantor, will then sell the home and apply the proceeds against the costs of foreclosure, fix-up, resale and the balance of your mortgage. If the proceeds of this sale are equal to or more than this amount, you wil
Related Questions
- How far in advance of the foreclosure sale do I need to file my chapter 13 in order to stop foreclosure, or if I know bankruptcy will end up my best solution should I just do it right now?
- After having my car repossessed, a house foreclosure or other legal problems, can I still file Chapter 13 and stop these actions?
- Can I file Chapter 7 in order to stop a repossession or foreclosure?
