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Got bad advice from an attorney supposedly “helping” me work with my lender. Jumped through hoops for 1 1/2 years paying fees and sending paperwork for a refinance up to last month when I sent them over $ 2000 (which they asked for), only to get the money order back and another person telling me, “Oh, your file was closed last August”. My work has picked back up, but they want $ 20,000 in 6 months; I don’t have it. I want to pay for my home, I’ve always paid my debts and I am a responsible person without credit card debt. Any ideas?

1 Thought on Could filing for bankruptcy stop a forclosure?
  1. Reply
    Gemstone Financial
    February 14, 2014 at 11:55 am

    I’m sure this could help u :

    A home is an asset usually secured by a deed of trust. The mortgage company is entitled apply to the court for relief from the automatic stay, the order preventing creditor action by virtue of the bankruptcy. Depending upon several factors, you may be able to prolong a foreclosure until you have received your discharge from bankruptcy. Usually, to keep a home that is in foreclosure you will have to make a deal with the Mortgage Company. This is the key, you still must work something out with the Mortgage Company to repay the past due amount. This is why we say filing for Bankruptcy is like putting a band aid on a bullet wound… it may help you at first but major surgery is still required.

    The Bottom line is that Bankruptcy may buy you a small amount of time but negotiations will still need to be made with the Mortgage Company to enable you to keep your home. Most people who file Bankruptcy to save heir home from Foreclosure wish they had not because in most cases they are in a worse position that when they started. Filing Bankruptcy removes your leverage and places your fate in someone else’s hands. Your best option is for you to stay in control, and allow AFS work something out for your prior to filing.

    Pros for filing Bankruptcy to Stop Foreclosure

    * The Foreclosure proceedings will be temporarily suspended.

    Cons for filing Bankruptcy to Stop Foreclosure

    * There will be a bankruptcy on your record for 10 years.
    * The Mortgage Company can work around the Bankruptcy and still Foreclose.
    * You lose any leverage and control you once had.
    * A deal must still be worked out with the Mortgage Company to repay the past due amount.
    * If you are 1 day late on any trustee payments your case “may” be dismissed, the stay will be lifted and you will be back in Foreclosure.
    * AFS can negotiate on your behalf with the Mortgage Company to keep your Home from Foreclosure and get your loan back in good standing.

    For more Information visit :

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