How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
A new question is answered every 9 seconds
Ask a Bankruptcy Law question
Type Your Bankruptcy Law Question Here...
characters left:
2 Bankruptcy Lawyers are Online Now

Bankruptcy and Foreclosure

What is a foreclosure?

A foreclosure is a process where an individual, also called as the lender, tries to get the balance amount of his/her loan from the debtor legally. In most cases, the debtor may have stopped making payments to the lender. Many times people may resort to bankruptcy to avoid foreclosures. In such a situation, it is important to understand how bankruptcy and foreclosure work and what the foreclosure process is. Given below are popular questions about bankruptcy and foreclosure.

Can a Chapter 11 Bankruptcy Stop the Foreclosure of HOA Dues?

A chapter 11 bankruptcy may not stop the foreclosure of HOA dues. In most cases, chapter 11 bankruptcies may be used for business purposes. If an individual wants to stop the foreclosure of HOA dues, he/she may do so by filing for chapter 13 bankruptcy before the foreclosure sale.

Can a Foreclosure be Stopped just two days before the Foreclosing Process?

If an individual wants to stop a foreclosure two days before the process, he/she may get a pre filing certificate online and may file a skeleton chapter 13 bankruptcy. Once the foreclosure is stopped, he/she may complete the paperwork for the bankruptcy.

Can an Individual File an Emergency Chapter 7 Bankruptcy to stop a Foreclosure?

An individual may file an emergency chapter 7 bankruptcy before the foreclosure sale to stop the foreclosure. A notice of the bankruptcy case filing may be given to the trustee or company that is conducting the foreclosure sale. However, if the documents that are required for chapter 7 bankruptcies are not submitted to the court within 15 days of filing the bankruptcy, it may be dismissed by the court.

Can an Individual include the Mortgage Payment on Schedule J of Chapter 7 Bankruptcy if the Foreclosure of his/her home has already begun?

An individual may include the mortgage payment on schedule J of a chapter 7 bankruptcy provided he/she intends to keep the house and make the payments to the debtors that he/she may list as expense on the schedule.

Can a Bank Foreclose a Loan after a Chapter 13 Bankruptcy is discharged?

If an individual had filed for chapter 13 bankruptcy, it may stop the foreclosure of the loan immediately. It may also permit the borrower to pay the arrearage on the home over a period of five years. In most cases, the bank may not foreclose the loan after five years once the bankruptcy is discharged as the loan would not be default any longer.

Would it be difficult to recover from a Chapter 7 Bankruptcy or a Foreclosure?

In most cases, a chapter 7 bankruptcy would be easier to recover from as a person would have no debt once a chapter 7 bankruptcy is discharged. A foreclosure will require the debtor to pay off any unpaid portion of the equity loan.

For how long does a Chapter 7 Bankruptcy Delay Foreclosure?

Bankruptcy and foreclosure processes may be different in different states of USA. In some states like New York, a chapter 7 bankruptcy may delay the foreclosure for three to six months depending on whether the mortgage company files for relief from stay or not.

What can an Individual do if a Debt Collection Agency contacts him/her for a Second Mortgage after a Foreclosure?

If a debt collection agency contacts an individual for a second mortgage even after a foreclosure, he/she may send the agency a copy of the bankruptcy petition that had a list of the creditors informing them that the debt was discharged. The debt collection agency may not be able to collect the money from the individual’s bank or savings accounts.

Having information about bankruptcy and foreclosure can help individuals take a decision on whether to apply for bankruptcy to avoid a foreclosure or not. Bankruptcy may be used to protect an individual from foreclosure if he/she has the right amount of knowledge about both bankruptcy and foreclosure.
Ask a Bankruptcy Law question
Type Your Bankruptcy Law Question Here...
characters left:
2 Bankruptcy Lawyers are Online Now

How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.

JustAnswer in the News:

 
 
 
Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.
 
 
 

What Customers are Saying:

 
 
 
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
< Last | Next >
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
  • This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!! Alex Los Angeles, CA
  • Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult. GP Hesperia, CA
  • I couldn't be more satisfied! This is the site I will always come to when I need a second opinion. Justin Kernersville, NC
  • Just let me say that this encounter has been entirely professional and most helpful. I liked that I could ask additional questions and get answered in a very short turn around. Esther Woodstock, NY
  • Thank you so much for taking your time and knowledge to support my concerns. Not only did you answer my questions, you even took it a step further with replying with more pertinent information I needed to know. Robin Elkton, Maryland
  • He answered my question promptly and gave me accurate, detailed information. If all of your experts are half as good, you have a great thing going here. Diane Dallas, TX
 
 
 

Meet The Experts:

 
 
 
  • Ron

    ASE Certified Technician

    Satisfied Customers:

    21119
    23 years with Ford specializing in drivability and electrical and AC. Ford certs and ASE Certs
< Last | Next >
  • http://ww2.justanswer.com/uploads/FO/fordguy4u/2011-12-17_222940_HPIM1257.64x64.JPG Ron's Avatar

    Ron

    ASE Certified Technician

    Satisfied Customers:

    21119
    23 years with Ford specializing in drivability and electrical and AC. Ford certs and ASE Certs
  • http://ww2.justanswer.com/uploads/lyeung1/2010-07-25_032152_tn_IMG_0241.JPG Dr. Y.'s Avatar

    Dr. Y.

    Urologist

    Satisfied Customers:

    18367
    I am fellowship trained specializing in general urology and reconstructive urology.
  • http://ww2.justanswer.com/uploads/docjohn174/2008-12-13_170143_johnask.jpg John's Avatar

    John

    Home Appliance Technician

    Satisfied Customers:

    13453
    Appliance repair business owner for over 43 years.
  • http://ww2.justanswer.com/uploads/MU/multistatelaw/2011-11-27_173951_Tinaglamourshotworkglow102011.64x64.jpg Tina's Avatar

    Tina

    Lawyer

    Satisfied Customers:

    8472
    JD, BBA Over 25 years legal and business experience.
  • http://ww2.justanswer.com/uploads/dermdoc19/2010-09-30_160749_Photo_122807_015.JPG dermdoc19's Avatar

    dermdoc19

    Dermatologist

    Satisfied Customers:

    3827
    30 years practice in general and cosmetic dermatology
  • http://ww2.justanswer.com/uploads/BI/birddoctor/2012-6-22_173214_birddoctor.64x64.png Dr. Pat's Avatar

    Dr. Pat

    Bird Veterinarian

    Satisfied Customers:

    3383
    25+ years working primarily or exclusively with birds
  • http://ww2.justanswer.com/uploads/RY/rydergar/2012-6-6_192240_IMG0328.64x64.JPG Dr. Gary's Avatar

    Dr. Gary

    Cat Veterinarian

    Satisfied Customers:

    3291
    DVM, Emergency Veterinarian, BS (Physiology)
 
 
 

Recent Foreclosure Questions

  • June 29, 2014 Dear Just Answer lawyer please think about this

    June 29, 2014
    Dear Just Answer lawyer please think about this and tell me.
    Can chapter 13 bankruptcies serve to get ride of a line of credit when the original owned is 58,000.00 and LOC is 52,000.00? How is that some people had gone throw this and are paying, but they are not sure that the second loan has been forgiven?
    The original debt of the house was increased from 25,000 to the 58,000.00 after Bank Of America did not reinstated or modified the loan for a period of 3.5 years. Now, when this primary house is in foreclosure, the bank has offered a trial modification period. However, it will end up charging 58,000 as a new 30 years loan at low interest that depends on market of the date. While, I still have the LOC For 52,000 at a variable interest to deal with. This LOC was used in an investment property that ended up in foreclosure because it was underwater. All of the loans where done with the bank of America.
    Thank you and tell me how to subscribe to your “ Just answer me”
    My email: *****@******.***
  • Bankruptcy from upcoming Divorce/Foreclosure?

    From Maryland. Separating in July / divorcing 1 year from now (ammicable!!).1 child 3 yrs old and wont be able to afford both mortgages, bills, day care, etc.. Mortgages and bills are solely under my credit. Custody will be 50/50.


    1. Should i NOT pay July's mortgage? Starting foreclosure process?


    2. Wash Post: Average of 553 days in MD before a owner is kicked out of foreclosed home. Can i assume i can reside here for at least a year before getting evicted?


    3. After sale to someone during foreclosure, is it more than likely mortgage banks will sue me to re-obtain lost monies?


    4. If so, will bankruptcy protect me?


    5. We have $16k+ in household debt, all under my credit. Will bankruptcy protect me from both - mortgage banks and the creditors for the $16k?


    6. If so, when would i apply for bankruptcy? i.e. how long can bankruptcy protect me? It seems if i have to face financial ruin..... dont repay the $16k as well to build a nest egg for my son and i to move out.


    7. If i have to face financial ruin of bankruptcy, do people pay for things they need right before declaring? i.e. car repairs, or etc? This is all very foreign to me and against what i believe in.. i have no choice. I am financially responsible and a hard worker. Paid cash for first car in high school and credit is usually 780+...


     


    Approved for both mortgages on just my credit when score was built up to 840. Thank you for your time...

  • I filed for Chapter 7 Bankruptcy in 2010 and all my debts were

    I filed for Chapter 7 Bankruptcy in 2010 and all my debts were discharged that same year. This included my home, which I continued to pay for because I was hoping I could keep up with the payments. Unfortunately I was unable to and my home foreclosed in August 2013. I would like to purchase a home that costs a lot less than my previous home (my credit score is almost 700) but I don't know if I have to wait approx. 3 years after the discharge date (2010) or the foreclosure date (2013).
< Last | Next >