"There's no place like home." "Home sweet home." "Home is where the heart is." There's a reason there are so many sayings about homes. Homeownership is a foundational aspect of the American Dream.
Sadly, millions of families across the nation face the imminent possibility of losing the roof over their heads. At DebtStoppers, we think no one should be able to take away your American dream. That's why we've helped thousands of people stop banks from foreclosing on them by filing for Chapter 13 bankruptcy. Call or text your local DebtStoppers office today to request a free personal consultation with one of our experienced attorneys, and learn how bankruptcy laws can save your house.
Learn How To Stop Foreclosure in Your State
Filing for Chapter 13 bankruptcy is the most effective way to stop repossession. As soon as you file for bankruptcy, the court will issue an "automatic stay," ordering all of your creditors to stop any and all collection activity immediately. This means that the bank CANNOT TAKE YOUR HOUSE after you have filed for bankruptcy. Even if your lender has already started foreclosing on you, they CANNOT CONTINUE.
Chapter 13 will reduce your debt and restructure it. You'll pay one manageable monthly payment directly to a court-appointed trustee for 3 to 5 years. Chapter 13 allows you to keep your home, keep your car, and keep the life you've worked so hard to build while eliminating and reorganizing debts.
What Does Foreclosure Mean?
When most people purchase real estate, they don't pay for it in cash. Instead, they sign either a mortgage or deed of trust to take out a loan from a bank or other lender. The lender ponies up the money to purchase the house, and the borrower repays the loan through monthly payments.
Under the terms of a mortgage or deed of trust, the loan is "secured" by the purchased real estate. This means that if you default on your loan, the creditor can take ownership of the property. Foreclosure is the legal process a creditor follows to assume ownership of and sell the mortgaged real estate.
Understanding the Process
The process varies depending on the state where you live. The laws in some states allow for what is called "non-judicial foreclosure." This allows a lender to skip court and start foreclosing on your house through an alternate process.
Most other states require "judicial foreclosure." This means that the lender has to take you to court and get an order from a judge before they can foreclose on your home. Either way, the bank has the legal right to take your home from you and sell it.
Avoid Foreclosure Scams and Schemes
If you're one of the millions of Americans hoping to stop banks from taking their homes, you've probably looked into various options. While many companies pretend they can help, some of them will actually rob you blind. Con artists run rampant across the country, looking for ways to take advantage of hardworking people just trying to save their homes.
To avoid scams and schemes, beware of businesses that claim to be:
- "Mortgage modification" middlemen
- Foreclosure "rescue specialists"
- "Debt settlement" companies
- Debt "doctors"
What Is Deed in Lieu?
A deed in lieu is a legal document that transfers title back to your lender in exchange for relief from your mortgage debt. While this allows you to stop foreclosure, you have to give up your house. You'll also lose any equity you have in the property.
Pre-foreclosure is the stage of the process where a lender has initiated but not completed proceedings. Even if you've reached this stage, it's not too late to stop the bank and save your home! Call or text DebtStoppers today to schedule a free consultation with one of our skilled bankruptcy attorneys.
DebtStoppers lawyers have saved thousands of homes across America. You don't have much time to stop your lender from destroying your American dream, so call or text DebtStoppers today to get started!