If your house is scheduled for a foreclosure and you are working on a loan modification, keep in mind that the loan modification process does not necessarily stop the foreclosure process. Several clients have come to our Law Firm and said they were working on a loan modification and they thought that meant the foreclosure would automatically stop. This is NOT the case! If you are facing foreclosure, you can use the power of the Federal Bankruptcy Court to stop the foreclosure through filing a Chapter 13 Bankruptcy case.

A Chapter 13 Bankruptcy case is a payment plan that has to be approved by the Judge and is based on your monthly income minus your monthly expenses such as: utilities, food, gas, insurance, cell phones, etc…  and your current mortgage payments.  The way a Chapter 13 case works is it puts your debts into the plan. Your mortgage arrearage is put in the plan and beginning the following month, you will need to make your current mortgage payments and you will have a Chapter 13 plan payment.   For complete details on how a Chapter 13 Case can help save your home from foreclosure, please feel free to contact me at 404-378-0600 or 1-800-253-1112.

Ken