Share:

When you've fallen behind on your mortgage payments, catching up can seem like an overwhelming, impossible task. Often times your lender may offer you a repayment plan with payments which are beyond your ability to pay.  Robert A. Schwartz, a debt relief lawyer serving clients throughout the Rochester, NY area, explains that, in many cases, avoiding home foreclosure is possible. However, when it's not a feasible or desired outcome, he can help you maximize the benefits of filing for bankruptcy.

home foreclosure

After evaluating your situation, Attorney Schwartz will help you decide which bankruptcy petition to file. Filing under Chapter 13, will allow you to catch up on missed mortgage payments through a court-ordered payment plan. The plan will typically allow you more time to cure the mortgage delinquency so that the payments are lower than those required by the lender.  The back mortgage payments will be paid without interest, and the filing of the Chapter 13 will stop further foreclosure proceedings which will prevent further foreclosure fees from accumulating.  Chapter 13 will also eliminate your unsecured debt for a fraction of the amount owed without interest.  It can also be used to pay income or property taxes if they are in arrears.

Filing Chapter 7, will not directly help you catch up your mortgage payments but will discharge your unsecured debt.  Once those obligations are eliminated, you may be in a better position to make your mortgage payments.  Chapter 7 and 13 both come with an automatic stay which stops foreclosure proceedings until your case is closed or until the Court terminates the stay.   If you are behind and file Chapter 7, the stay will likely be terminated at the request of the lender.  If you are in Chapter 13, the stay will continue so long as you are paying your current mortgage payments as well as the required plan payments.  

With more than 30 years of experience and an up-to-date knowledge of the bankruptcy code, Robert A. Schwartz provides the high-quality expertise you need to help you deal with unmanageable debt. Over the years, he's built a reputation for providing quality services which are personalized to your needs.  His focus is not to judge you based on the decisions you made in the past, but instead to suggest solutions so you can move forward with a fresh start. Visit Robert A. Schwartz online to learn more about his wide range of legal services, or just call (585) 334-4270 to schedule a consultation today.

tracking