How does filing for bankruptcy work to stop forclosure of your home?

Question

What do you have to do to go about filing,how long does it take to process,can you include all other debt besides your past due mortgage,and how will it affect my credit in the future?

Answer 1

Yu can file uder chapter 13 and refirm on the things you can pay for..

Answer 2

First you need to seek a qualified bankruptcy attorney in your area, most will see you on a free consultation. You will need to get together your last 6 months of pay stubs, assets, a list of debts and your last 4 years of taxes. If you mortgage is behind, you would most likely have to go into a chapter 13 payment plan, which is paid thru the US Bankruptcy court Trustees and a Trustee handles your bk case for either 3 or 5 years, paying your secured debts first, then the unsecured debts last. In a chapter 7, you would have to be current on the mortgage to qualify for the chapter 7.  If you let the house go and file a chapter 7 you would have to qualify based on median income and pass a means test that looks at your income, assets, and per state. There is also a credit counseling class that you would have to take before and after your court hearing date which is now required by law. Any bankruptcy filing will be on your credit report for 10 years, and the debts on your credit report for 7 years. You need to contact a good bk attorney to see what you qualify for first. A bankruptcy will run you between 800.00 and up to file, some will work with you on a payment, others want it paid upfront before filing depending on the attorney. Good Luck!

Answer 3

There are actually companies that will work with you for free to keep your home from going into foreclosure and help relieve the pressure. Try something like that first (http://www.speedyrealestate.info).

Also, the best option for debt trouble is negotiating your debts with your credit companies to keep the payments from swallowing all of your income. Typically, you have to get a counseling agency to call on your behalf. If you try to work with them yourself, many of them will not cooperate with you because you are not enrolled in credit counseling. Try http://www.womenindebt.info. Good luck!