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.
Ask cfortunato Your Own Question
cfortunato, Attorney
Category: Bankruptcy Law
Satisfied Customers: 8023
Experience:  Bankruptcy professor.
Type Your Bankruptcy Law Question Here...
cfortunato is online now
A new question is answered every 9 seconds

I am contemplating bankruptcy. I am currently in the process

Resolved Question:

I am contemplating bankruptcy. I am currently in the process of a loan modification on my mortgage, however, I have not been approved. I have a foreclosure sale date in 3 weeks. Do lenders allow a loan modification if I filed for bankruptcy
Submitted: 7 years ago.
Category: Bankruptcy Law
Expert:  cfortunato replied 7 years ago.
Hi JACustomer,
After a bankruptcy filing, in general, a lender would be more likely to approve a modification. This is because once the bankruptcy is filed, a debtor usually has more disposable income because he no longer has to pay creditors.
However, the loan modification process, as well as the foreclosure, must be put on at least a temporary hold (because of the "automatic stay") while the bankruptcy is being processed.
cfortunato and other Bankruptcy Law Specialists are ready to help you