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    Foreclosure

    Foreclosure is the legal process by which a lender reclaims a home or property to recoup the outstanding balance on a mortgage or loan. The property is sold, usually at auction, and the proceeds of the sale are used to settle the debt. The foreclosure process differs from state to state, and can happen as quickly as 30 days from the time that a notice is received. In some cases, the lender can also come after the person for the remainder of the loan if the sale price doesn’t satisfy the debt.

    There are actions that you can take in order to stop a foreclosure with the help of a California bankruptcy attorney:
    You can negotiate a loan modification with the lender. This can allow you to keep your home and make the payments on the debt more manageable. Many programs have been created to help homeowners stay in their homes due to the current mortgage crisis. The U.S. Department of Housing and Urban Development provides information on the government’s programs to help homeowners negotiate a mortgage modification. An attorney can help with negotiate with a lender to obtain a loan modification. Fees associated with the negotiation process may limit the benefits of the modification received.

    You can also stop foreclosure process by filing bankruptcy. By filing a Chapter 13 bankruptcy case you can catch up on back payments on your home through the payment plan worked out with the bankruptcy trustee. You must continue to make timely payments on your home during the bankruptcy case, or the lender petition the court to proceed with the foreclosure sale. Our California Bankruptcy Lawyer can help you filing for bankruptcy now.