Stop Foreclosure in Illinois
In these tough economic times, millions of American families are in danger of losing their homes. Dealing with the possibility of foreclosure can feel terrifying and humiliating. You might even feel like you have to hide the truth from your friends and family. But no one should have to deal with this situation alone! If you are having trouble paying your mortgage, contact DebtStoppers today so that one of our experienced bankruptcy lawyers can help you save your home.
Illinois Foreclosure Process
Foreclosure is the legal action your lender uses to take back your home when you can't pay your mortgage on time. Under the terms of your contract, the home loan was secured by your home. This means that if you default by not paying on time, the lender can take possession.
Illinois requires judicial foreclosure, which means that your bank has to conduct the proceedings through a court. Your lender's lawyers will file a legal document called a complaint in the court, and a judge will make a decision about if the bank can foreclose on your home.
How Long Does Foreclosure Take?
Most mortgage payments are due on the first of the month, but banks typically allow a grace period of 10 to 15 days. Once you pass that 15-day deadline, your lender will usually start turning up the heat.
Typically, the bank will try to get you to pay without involving the lawyers for at least 90 days after your payment is due. They'll start with friendly reminder letters, but towards the end of this period, you'll probably be getting threatening messages and phone calls.
After 90 days, things get dire:
- Your lender will refer your loan to its lawyers and officially start the Illinois legal process.
- The bank can file a Complaint to Foreclose Mortgage, and you and your lawyers will have 30 days to respond.
- If the court finds in favor of the lender, Illinois laws give you 90 days to entirely repay what you've borrowed.
- Your home will be auctioned off at a Sheriff's Sale if you can't pay.
You've probably seen or heard a dozen different "tricks" to stop a foreclosure. Unfortunately, many of these options are scams. Even some legitimate choices don't actually provide the financial relief you need to afford your payments. Our experienced DebtStoppers lawyers are committed to helping Illinois homeowners avoid manipulation and keep the houses they worked so hard to buy.
What Doesn't Work
Unfortunately, you have to watch out for predators and criminals in Illinois looking to take advantage of people who are desperate to keep their homes. Here are a few common scams you should avoid at all costs:
- Third-party mortgage modification companies
- Foreclosure "rescue specialists."
- Debt settlement companies
These people are not trying to help you; they're trying to rip you off. It's essential to remember that only experienced bankruptcy lawyers can stop the foreclosure process once it has started.
You can also try negotiating a loan modification with your lender. Unfortunately, there are a few problems with this solution. First, Illinois banks rarely agree to modify the terms of your mortgage. And even if they do, you'll likely fall behind on payments again because mortgage modification does nothing to address all of your other forms of debt.
An Illinois Chapter 13 bankruptcy is your best option for avoiding foreclosure and keeping your house. While you'll still have to pay your mortgage, Chapter 13 allows you to eliminate about 90% of your other debt, significantly reducing your monthly payments.
Even if the bank’s lawyers have already initiated proceedings, it's not too late to let Chapter 13 do its magic. The minute your lawyers file your bankruptcy petition in Illinois, the process stops immediately. The court will also order all of your creditors to stop trying to collect money from you or even calling you.
What Happens After Foreclosure?
You're allowed to remain in your home until the process is completed. Once you reach the sale date, you can move out voluntarily or wait until the new property owner evicts you. An eviction can cause even more damage to your credit on top of the hit you're already facing.
The best option for you, your family, and your credit is to prevent the bank from foreclosing on you in the first place with a DebtStoppers Illinois Chapter 13 bankruptcy plan. Our experienced foreclosure defense attorneys can help you restructure your debt into a monthly repayment plan you can actually afford. Contact us today at 312-913-0630 to schedule a free one-on-one consultation with one of our experienced Chicago bankruptcy lawyers.
DebtStoppers lawyers can help you save your home in Rockford, Springfield, Lake County, Naperville, or elsewhere in the Chicago area. Call or text DebtStoppers today at 312-913-0630.