Can I prevent foreclosure by getting a bankruptcy? 13 Answers as of April 07, 2011

How long can I drag out a chapter 7 bankruptcy? I'm about to get a foreclosure letter and I'm laid off my job, subject to recall, but don't know when I'm looking for work .I'm bargaining for time to get a job.

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Law Offices of Michael J. Berger
Law Offices of Michael J. Berger | Michael J. Berger
You can delay a foreclosure by filing bankruptcy. The amount of the delay depends on many factors including, but not limited to, the type of bankruptcy that you file ( Chapter 7, 11 or 13), whether or not the lender brings a Motion for Relief from Stay, and whether or not you are able to make any payments to the lender after the filing of your bankruptcy petition. A typical Chapter 7 takes 4 months start to finish. Asset cases may take longer. For specific advice about the facts of your case, call me for a free consultation.
Answer Applies to: California
Replied: 2/27/2011
Goodman, Dicus, and Teinert, LLP
Goodman, Dicus, and Teinert, LLP | Scott W. Dicus
Chapter 7 bankruptcy's automatic stay won't prevent foreclosure if you've fallen behind on your mortgage payements. At most, it will postpone foreclosure for a few months. In many cases, the lender will just wait out your bankruptcy (a few months) and then proceed with the foreclosure. About the only way Chapter 7 bankruptcy can help you keep your home for the long haul is by discharging your other debts, which will allow you to devote more money to getting current on your mortgage to prevent foreclosure. Also, if your property has sufficiently decreased in value, Chapter 7 bankruptcy can effectively eliminate the need to pay your second and third mortgages.
Answer Applies to: California
Replied: 4/7/2011
Greifendorff Law Offices, PC
Greifendorff Law Offices, PC | Christine Wilton
Yes, a bankruptcy case in either chapter 7 or chapter 13 will legally STOP a foreclosure. Since you have no income to support keeping your home under chapter 13, a chapter 7 will stop the foreclosure during the entire duration of the case. Keep in mind that the lender may proceed with a motion for relief from the automatic stay injunction to continue their foreclosure proceedings, so all you're doing at this point is delaying the inevitable foreclosure. Bankruptcy is also beneficial to eliminate your legal liability on that mortgage debt for all mortgages and you will also eliminate any tax penalties as debts discharged in bankruptcy are NOT taxable. Best to you.
Answer Applies to: California
Replied: 2/24/2011
Ferguson & Ferguson
Ferguson & Ferguson | Randy W. Ferguson
Bankruptcy really does not stall foreclosure. How far behind are you on your payments? Call our office and we can explain what you can do to try and prevent foreclosure.
Answer Applies to: Alabama
Replied: 2/23/2011
Ursula G. Barrios Law
Ursula G. Barrios Law | Guillermo Machado
Chapter 7 BK prior to foreclosure will give you from 30-90 days in house, sometimes more, rarely less.
Answer Applies to: California
Replied: 2/23/2011
    The Law Office of Mark J. Markus
    The Law Office of Mark J. Markus | Mark Markus
    Not sure I completely understand your question, but filing a Chapter 7 case will temporarily stop a foreclosure until the creditor files a Motion with the court for permission to proceed. How long you will get depends on how quickly the creditor files the motion. Probably at least a month or two, and not more than 3 or 4 months.
    Answer Applies to: California
    Replied: 2/23/2011
    The Carmichael Firm
    The Carmichael Firm | Booker Carmichael
    Question: Can I prevent foreclosure by getting a bankruptcy?
    Answer: Yes a Chapter 13 Bankruptcy

    Question Detail: How long can I drag out a chapter 7 bankruptcy? I'm about to get a foreclosure letter and I'm laid off my job, subject to recall, but don't know when I'm looking for work .I'm bargaining for time to get a job.
    Answer: A chapter 13 will require employment as your disposable income will be used to reorganize your debt.
    Answer Applies to: Louisiana
    Replied: 2/23/2011
    Law Offices of Dennis Baranowski
    Law Offices of Dennis Baranowski | Dennis Baranowski
    Assuming that you are able to file a Chapter 7 bankruptcy, the court enters an injunction called the automatic stay that prohibits your creditors from continuing with any collection actions, including foreclosure. However, if you fail to make the mortgage payments, at some point during the case the lender will file a motion for relief from the automatic stay and then move forward with the foreclosure. If the lender opts to not file a motion for relief from the automatic stay, the automatic stay will terminate approximately 3 - 4 months after the filing when the discharge is entered. Depending on your specific circumstances, the timing of the filing can buy you more time to find a job and keep your house. However, you should note, that unless you are able to modify your loan, the lender will expect the back owing payments. Therefore, a Chapter 13 filing, once you obtain a job, may be the better option to help you keep your home. Without knowing more specific information, it is difficult to provide a more definite response. You should meet with an experienced bankruptcy attorney in order to obtain the best assessment of your situation.
    Answer Applies to: California
    Replied: 2/23/2011
    William C. Gosnell, Attorney at Law
    William C. Gosnell, Attorney at Law | William C. Gosnell
    Bankruptcy takes between 90 days and 120 days. After its over you have no protection but it will buy you a little time.
    Answer Applies to: Tennessee
    Replied: 2/23/2011
    Carballo Law Offices
    Carballo Law Offices | Tony E. Carballo
    You might want to do a Chapter 13 to try to save your home. Chapter 7 will stop the sale (as does Chapter 13) but Chapter 7 will not give you the opportunity to pay the amount of the payments not made over a period of up to five years. You can fight for the house a lot longer in a Chapter 13.
    Answer Applies to: California
    Replied: 2/23/2011
    Law Office of L. Paul Zahn
    Law Office of L. Paul Zahn | Paul Zahn
    A bankruptcy can delay the loss of your home through foreclosure but you will still lose the home if you are unable to work out something with the bank that will allow you to roll the past due amount back into a new loan that you reaffirm on the other side of bankruptcy (before the trustee sale). That said, I'd be happy to help you if you are looking for the assistance of an attorney. Please contact me for a free consultation.
    Answer Applies to: California
    Replied: 2/23/2011
    Janet A. Lawson Bankruptcy Attorney
    Janet A. Lawson Bankruptcy Attorney | Janet Lawson
    Once you file a bankruptcy the lender can file a "motion for relief from the automatic stay." Once that motion is granted they can proceed with their foreclosure. There is no telling when in the case they might do this. The motion requires 25 days notice you to you.
    Answer Applies to: California
    Replied: 2/23/2011
    Sussman & Associates
    Sussman & Associates | Mitchell Sussman
    Yes. Many, many months.
    Answer Applies to: California
    Replied: 2/23/2011
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