When you fall behind on your mortgage, the lender can move to foreclose. Filing Chapter 13 does two things:
As long as you keep up with the plan and your ongoing mortgage payments, you keep your home.
Chapter 7 can pause a foreclosure temporarily, but it does not provide a mechanism to cure the arrears, so it is usually not a long-term foreclosure solution. Chapter 13 is the tool designed to let homeowners catch up and stay.
Timing matters. The earlier you speak with a bankruptcy attorney, the more options you have. If a foreclosure sale is scheduled, contact us right away so we can determine whether an emergency filing can protect your home.
Yes, in most cases, as long as you can afford your ongoing mortgage payment plus the plan payment that catches up the arrears. We review your budget with you to confirm it is workable.
An emergency Chapter 13 filing can stop a sale, but it must be filed before the sale occurs. Contact a bankruptcy attorney immediately if you are close to a sale date.
Chapter 13 does not reduce your regular mortgage payment, but it can stop foreclosure, spread out the past-due balance, and in some cases strip a wholly unsecured second mortgage. We explain what applies to your case.
Attorney Alex Ranjha (JD/MBA) offers a free, confidential consultation. Flexible payment plans. Se Habla Español.
