Do You Need to Stop Foreclosure in California?
It’s time to consider bankruptcy in California if your life has been taken over by looming foreclosure, constant badgering phone calls from creditors, lawsuits or garnishments of your wages or property. Or maybe your debt has you trapped due to the amount of each payment and the extent of the debt. There are many kinds of debt that can get you into these situations, including medical bills, credit card balances, falling behind on your mortgage, loans and back taxes owed to the government and even car repossessions.
Bankruptcy Attorney to Stop Foreclosure Near Me in California
Experienced, professional bankruptcy attorneys understand the difficulties and worries you face. We know your best options. We are here to help and will work with you to alleviate your financial uncertainty. Even before your bankruptcy petition is filed, an attorney can help shield you from creditor harassment. In a non-judgmental and supportive way, we can help you understand your options, the process of filing for bankruptcy, and help lift the burden of financial uncertainty.
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California Bankruptcy Attorney, The Bankruptcy Experts, are dedicated BK Lawyers with over 10 years experience in dealing with the complex issues concerning bankruptcy. We have the skills and expertise to handle any type of bankruptcy problems you might be experiencing. We proudly offer our services to businesses and individuals throughout California and the surrounding areas.
You may feel hopeless, and at the mercy of a faltering economy, but don’t despair. Relief is available, and there is no shame in using the law to protect yourself when you are buried under a pile of debt. You aren’t responsible for the economy, and you didn’t create the mortgage crisis. So use the law to protect yourself and your family.
A Second Chance
Bankruptcy laws are in place to help Americans get a second chance when they are snowed under by economic pressures. You have rights, including the right to be free from harassment by creditors. If your creditors are hounding you, you can make them pay. And if your debt has become more than you can manage, you may be able to file for bankruptcy.
Foreclosures have really been on the increase since 2008. From 2007 to 2009 around 3 million property owners were handling foreclosure. That number has tripled in size. This real estate collapse incorporated with financial difficulties and many homeowner being “upside down” or “underwater” in their houses has caused a realty crisis in the United States.
Americans are turning to filing Chapter 13 bankruptcy in order to stop an approaching foreclosure sale. The original function of Chapter 13 bankruptcy was to make it possible for an individual who was facing monetary destroy to position all of their financial obligation into one huge amount which would then be restructured and settled one month at a time over a 3 to 5 year period.
In general, a Chapter 13 bankruptcy needs more than simply a home being “underwater” for a court to rule in your favor. If your profits is adequate for making your home loan payments and you have no authentic noteworthy financial responsibility, then you probably will not get approved for a Chapter 13 bankruptcy. Obviously, your circumstances might be various or there might be other conditions that utilize. But simply being “underwater” by your home loan and behind on your payments is usually inadequate to certify.
If your financial circumstance is briefly in disorder because of unanticipated expenses, medical emergencies, major automobile repairs, etc., notifying your loan provider is essential. It is really possible that the loan company may utilize a short-term deferment of your payments or provide you with re-payment terms which enable you to briefly minimize your payments owed in return for an extension of your mortgage. Getting in touch with an experienced, well-informed lawyer– a real professional in California Bankruptcy– can use you the tips and representation you require when facing such a situation.
Stop Foreclosure with a Bankruptcy Lawyer in California
When you submit either a Chapter 13 or Chapter 7 bankruptcy, the court instantly issues an order (called the order for relief) that includes an “automatic stay.” The automatic stay directs your creditors to stop their collection activities instantly. No reasons. If your home is arranged for a foreclosure sale, the sale will be lawfully postponed while the bankruptcy is pending– generally for three to four months. Especially when you live in California or in a nearby state.
Nevertheless, there are 2 exceptions to this general standard:
Motion to raise the stay: If the loan company gets the bankruptcy court’s approval to proceed with the sale (by submitting a “movement to raise the stay”), you may not get the full 3 to four months. But even then, the bankruptcy will typically hold back the sale by a minimum of 2 months, and even more if the lending institution is slow in pursuing the movement to lift the automated stay.
Foreclosure alert currently submitted: Sadly, bankruptcy’s automatic stay will not stop the clock on the advance notification that a great deal of states need prior to a foreclosure sale can be held (or a motion to raise the stay can be sent). For instance, prior to offering a home in California, a loan supplier has to give the owner a minimum of 3 months’ alert. If you get a three-month notice of default, and then apply for bankruptcy after two months have really passed, the three-month duration will elapse after you have actually remained in bankruptcy for only one month. At that time the loan provider could file a movement to raise the stay and ask the court for permission to arrange to stop the foreclosure sale. This does not recommend the loan provider’s movement would be provided, but it is best to have an experienced legal representative in your corner in an effort to prevent that from happening.
Lots of people will do whatever they can to stay in their home for the indefinite future. If that describes you, and you’re behind on your home mortgage payments with no feasible method to acquire existing, the only technique to keep your home might be to file a Chapter 13 bankruptcy. Chapter 13 bankruptcy lets you pay off the “arrange” (late past due payments) over the length of a payment plan you propose– 5 years often. However you’ll require adequate income to at least fulfill your existing home mortgage payment at the same time you’re settling the arrange. Presuming you make all the required payments approximately the end of the payment plan, you’ll avoid foreclosure and keep your home.
2nd and 3rd home mortgage payments:
Chapter 13 may likewise assist you eliminate the payments on your second or 3rd home mortgage. That’s because, if your very first home mortgage is protected by the whole worth of your home (which is possible if the home has actually dropped in worth), you might no longer have any equity with which to secure the later mortgages. That permits the Chapter 13 court to “remove off” the 2nd and 3rd mortgages and re-categorize them as unsecured debt– which, under Chapter 13, takes last concern and regularly does not need to be paid back at all. All of this is common in California and throughout the region, and remember, the time to do something is now.
If you are dealing with massive monetary responsibility and financial mess up that is simply worsened by your mortgage payments, then you need to call us, The Bankruptcy Experts – California, for a Free Assessment.
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