What if the debtor fails to pay their mortgage payments due to circumstances beyond his control?
Unfortunately, mortgagees (banks) generally do not care what reasons that the debtor has for not making their mortgage payments. Banks are concerned with profits for their shareholders. Banks are not charitable organizations and will happily foreclose on any mortgagor who is delinquent, regardless of the reason. When a debtor falls behind in a chapter 7, the debtor may elect to convert the case to a chapter 13. A chapter 13 case has provisions for curing, among other things, a mortgage default over a maximum period of 60 months.
Related Questions
- Can commercial mortgage holders force mortgagees to pay interim mortgage payments during the pendency of proceedings or else vacate the premises?
- What if the debtor fails to pay their mortgage payments due to circumstances beyond his control?
- Do they have to use the monthly claim payments to pay their mortgage?
