Your Debt Threat

Posts Tagged ‘Stop’

Most homeowners believe that foreclosure laws are designed to hurt rather than help them. Not so. The secret is that foreclosure laws have evolved to protect the borrower–not the lender. There, I’ve said it. The secret is out! Now listen closely and understand why I say this. The foreclosure process gives you, the borrower, specific periods of time in which to:

• bring your loan current by making up the missed payments (known as “reinstatement”), or

• pay off your loan in its entirety (called “redemption”).

If neither of these options is feasible, you will still have time to prevent your property from being sold at a public auction (the foreclosure sale).

You will get the most benefit out of the foreclosure process if you envision this secret as a “window of opportunity” to resolve your financial problems. During this window of opportunity, you have time to learn about the foreclosure process and implement a strategy to stop the foreclosure.

Another basic misconception about foreclosure is that lenders want to foreclose. Nothing could be further from the truth! Lenders are in the business of loaning money–not owning real estate.

They don’t want your house back for numerous reasons. Lenders are reluctant to incur the costs of a foreclosure. For example, if your lender is forced to foreclose, it will not only lose your back payments, but it will also incur foreclosure expenses, taxes, insurance, wear and tear while you (or your tenant) live in the

property, repair costs to refurbish the property for sale, and a real estate agent’s commission once the property is sold. As a result, many lenders will go out of their way to work out a resolution–short of actually foreclosing–if you give them the opportunity.

A. Communicate With Your Lender

The secret to stopping your foreclosure is communicating with your lender. With the sudden avalanche of foreclosures and defaults, lenders are more eager than ever before to workout a solution rather than foreclosing. Lenders will do almost anything to avoid increasing their overflowing REO inventory of foreclosed properties.

Don’t shy away because you’ve missed payments, concerned that you will miss some payments in the future, or that your property has already gone into foreclosure. Whether you communicate by telephone, letter, email, fax, or in person, you will have a much easier time stopping (or at the very least, delaying) the foreclosure if you talk to your lender rather than adopting a code of silence.

The secret is to negotiate directly with someone with “authority” at your lender’s office. The first step is to determine who your lender actually is. (This is no small feat these days with lenders selling their loans to other lenders like hot potatoes.) If your property has already gone into foreclosure, the first person you will be dealing with will either be the foreclosing trustee, or the attorney for the lender. If it is a judicial foreclosure, you will most likely be contacted by a process server, sent by the lender’s attorney. If it is a non-judicial foreclosure, the trustee is responsible for handling the foreclosure process. You will need to contact these people.

But the secret is that you will be more successful if you communicate directly with your lender, rather than the trustee or the attorney. So you should request from the trustee or the attorney, the name, telephone number, and address of the foreclosing lender. In the unlikely event that they refuse to disclose the name of your lender, you can look on the Notice of Default, or the summons and complaint, or telephone the customer service department of a local title insurance company.

Another situation may occur where you discover the name of your lender, but it turns out to be a servicing agent rather than the party that actually holds the deed of trust or mortgage. A servicing agent is a company (sometimes it can be a bank, mortgage company, or private corporation) that is hired by the actual lender to “service” the loan, (issuing mortgage statements, payment coupons and late notices, collecting payments, monitoring the impounding of insurance and tax payments, and handling foreclosures if necessary). Fortunately, most servicing agents will disclose the name of the lender. If they won’t, you may be forced to negotiate with the servicing agent.

In the interim, you will receive threatening calls from collection agents at the lender’s office. Do not under any circumstance ignore your lender’s contacts. Your goal should be to respond to every phone call or letter. Difficult as it may be to talk about your financial problems, be polite and cooperative. Follow up all telephone calls with a letter to the person you spoke to, confirming what was said. If you’re not in when a call comes, return it as soon as you can. Use these calls to collect information regarding your lender (i.e. lender’s name, address, phone number, fax number, email address, responsible department or individual).

When you receive a letter from your lender (always keep the original), immediately write a letter in response. The secret here is to establish a paper trail so you can prove to your lender (or a court, if necessary) that you have been cooperative, especially during the initial stages of the foreclosure process.

It is also important to send copies of all of your letters to:

• the lender’s CEO

• the branch manager (if applicable)

• the loan officer who helped you obtain your loan, and

• any other person you know by name at your lender’s office.

B. CONTACTING PEOPLE YOU KNOW AT THE LENDER’S OFFICE

Make sure your letter indicates you are sending copies by typing “cc:” and the name of the person(s) below your signature. Please don’t be hesitant to send copies of your letters to these individuals, as they can’t do anything to help you if they aren’t aware of your predicament. There is a secret to sending copies to other people and showing the “cc” at the bottom of your letters. At the very least, the person you sent the letter to won’t be able to ignore your letter because he or she knows that supervisors have received copies.

Typically, in their initial letters and telephone calls, your lender will state that they have not received your payment(s) and inquire innocently whether or not you have mailed a payment. What you say in response to your lender’s inquiry is another matter. If you already mailed your payment, give your lender the date. If you have not, tell the truth. Your lender in turn will want to know why you haven’t paid, and what date you will be sending a payment. Acknowledge that you are having temporary financial problems and that you won’t be able to make the payments for the next couple of months. Provide a good explanation of your financial difficulties (i.e. layoff, medical emergency, death in the family, loss of business, divorce). Contrary to popular belief, sharing this information will not speed up the foreclosure process. What you say may make the lender more sympathetic to your situation and may delay the foreclosure. At the very least, it will foster a positive atmosphere for negotiations later in the process.

Your lender may warn you that if payments are not made, your loan will go into default. It may also threaten to start foreclosure proceedings unless you bring all of your payments current immediately. Don’t be intimidated. Stay calm and understand that the person you’re dealing with is simply doing his job. At this point, write a letter explaining your financial problem and request an appointment with a senior loan officer to discuss your loan.

People around the world are getting more service oriented and the service sector is going through a period of high demand. The demand for specialized services is on an all time high especially in the currently rising sectors like real estate, petroleum, fast moving consuming goods etc. One such important line of business is the foreclosure services. The foreclosure services are on important aspect of the legalities of almost all kinds of business involving the loans and properties. The foreclosure services act as a source for people to deal with the changing conditions and the variations of the market and the ups and downs of the property market.

The foreclosure services have been taken up by the financial and legal experts and are ready to offer solutions that cannot only help you to understand the system of operation but also aid in using these foreclosure services for the benefits in trying to pay the regular payments and hence plan out a structure of payment plans that can suit their budget and also be acceptable by the lender.

Today, keeping up pace with the rest of the world is an absolute necessity; many people take loans on expectations of future earnings. Sometimes development of certain situations and the sequence of some unexpected events, like the loss of jobs or the accident of the sole earning member etc, can occur. These seriously impact the monetary condition of a family or an individual. Here they might not be able to live up the financial obligations they have and hence the foreclosure services come into play. Stop Foreclosure services are of great importance here as they not only help to simplify the process of dealing with the lender but also bring in solutions to the customer about how to clear the debts or payable amount. These foreclosure services do demand a price which at times can be too much for an individual to incur at the times of crisis but when you have nothing going your way professional assistance from foreclosure services is always helpful.

Time is of uttermost importance when people face foreclosures and foreclosure services need to provide homes for rent the reasons and the solutions in the shortest possible span of time. If you do not deal with these kinds of problems day in and day out you will find it very challenging and difficult but foreclosure services providers are experts as they deal with different cases as a part of their daily routine. To ensure that you do not waste time in trying to find solutions for your problems as in these cases time can be money as well as foreclosure services consultancy always pays off well.

Foreclosure services have a lot to offer to the modern customer. With the credit system getting more complicated by the day and the importance of a person’s credit rating being so very high it is highly significant that foreclosure services are made use of correctly. By getting into a foreclosure and not seeking help from foreclosure services the person can ruin his/her credit and not only loose a property but also it becomes difficult for that person to get a loan or any form of credit in the future.

Many times the need for foreclosure services arises as people are not aware of the kind of options they have and the alternatives they have so that they can deal with the payments for the loans they have taken.

Foreclosure services are also important for people who give away the loans as they can help the creditors to ensure that the money that is given away can be collected in time. Also in some occasions when the creditors are fighting against a foreclosure services for a debtor they would rather prefer to deal with foreclosure service professionals to handle the case for them as well. The increasing shortage of time is another factor that people avoid falling in such matters and prefer that the foreclosure services are made use of.

There are many kinds of foreclosure services that are being provided by different companies, these include consultancy for the debtors and the creditors, handling personal and company cases for the debtors and creditors and at times the foreclosure services are also hired by the government to decide on certain legal issues in regards to acquisition of land or property. Often, an investor will simply buy the property to satisfy the loan so an important service can be finding the right real estate investor to help relieve your burden.

Advice for Homeowners That Want to Save Their Home

Facing a home foreclosure can be a very scary experience. While foreclosure laws differ from state to state, good foreclosure advice can help almost anyone in this terrible situation. In this article we will explain 5 of the most commons things you should know if you plan to stop home foreclosure and remain in your home.

Five Tips to Avoiding Home Foreclosure

1. Do Not Avoid Your Lender

It is human nature to avoid any situation we feel we are not equipped to deal with. However, if you are behind on mortgage payments and need to stop home foreclosure to remain in your home, avoiding the situation is only counterproductive. Once the foreclosure process has begun, the only thing that will stop the foreclosure process is for you to do something. If you choose to avoid your lender and do nothing to stop the foreclosure, then the foreclosure process will inevitably take your home. Stay in touch with your lender, and provide them with current and accurate contact information.

2. When You First Fall Behind on Your Mortgage Payments, Write Your Lender a Hardship Letter

Lenders are people just like you and I. If some owed you money and could not pay, you would feel much better if they communicated with you and explained their current situation and when they may be able to repay you. Lenders are no different. Many homeowners who refuse seek foreclosure advice do not realize that by writing a Hardship Letter and sending it to your lender, you may me able to delay or even avoid foreclosure. If your financial situation will be improving soon, your lender may decide to give you some additional time to catch up your payments. The best way to stop home foreclosure is to avoid foreclosure altogether.

3. Ask Your Lender if They Can Offer You About Any Foreclosure Advice or Foreclosure Alternatives

You are not the first person to fall behind on mortgage payments, and you won’t be the last. Many lenders have Workout Departments that can give free foreclosure help that can help you stop home foreclosure or avoid foreclosure altogether. Before you talk to an attorney or consider filing bankruptcy to stop foreclosure, find out if your lender can offer you free foreclosure advice and get you back on track.

4. If You Get Foreclosure Advice From a Third Party, Avoid Foreclosure Scams At All Cost

The big problem with a scam artist is that they look and sound like legitimate business people! There are more “Avoid Foreclosure” and “Pay Us To Stop Home Foreclosure” scams than ever more. As foreclosure rates rise and more and more owners seek foreclosure alternatives to help stop home foreclosure, the number of scams will only increase. The best way to avoid foreclosure scams to make sure you are dealing with a company that will at least provide an initial free consultation, references, and has been in business at least two years. Avoiding foreclosure scam artist that can ask for large amounts of money up front or promise to stop home foreclosure as soon as they receive payment can save you time and money.

5. If Possible, Keep Your Other Bills Current

There are many legitimate companies that offer financial help or loans for people in foreclosure. They can help stop home foreclosure by loaning the money you need to catch up on your mortgage payments or by refinancing your property with a new loan, thus paying of your lender and avoiding foreclosure. If you are behind on all of your bills, your credit score will most likely be too low to qualify for this type of loan, called a Foreclosure Bailout (a special type of loan designed specifically for people in foreclosure). I have seen consumers with a mortgage and several other small monthly payments (less than $20) lose their home because they stopped paying all of their bills. Avoiding foreclosure with a loan is one of the best ways to save your home, so if you can stay current on your other bills this is a viable option to stop home foreclosure and is some of the best foreclosure advice anyone can give you.

Challenging Wrongful Foreclosure in Nevada

This is a brief guide for lay persons about how to challenge foreclosure successfully. This memo is not a substitute for legal assistance. Foreclosure is a complex areas of law and one should not venture into it without proper legal help. However, at this time it is meant as only education purposes.  It is divided into the following parts:

 Filing Bankruptcy before Foreclosure Occurs

Suing to Enjoin Foreclosure before It Occurs Suing to Set Aside a Foreclosure that Has Already Taken Place Filing a Counterclaim in the Detainer Action after Foreclosure Has Occurred Filing Bankruptcy after Foreclosure Procedural Grounds for Challenging the Foreclosure Substantive Grounds for Challenging the Foreclosure

 Filing Bankruptcy before Foreclosure Occurs

This is often the shortest and simplest procedure. It has the following advantages: a bankruptcy filing automatically prevents foreclosure temporarily and sometimes permanently; you have the opportunity to cure a default in your payments by paying the delinquent amount in installments over a reasonable period; you may be able to reduce or eliminate the fees of the lender’s attorney; and you may be able to avoid interest on the amount you are delinquent (though not interest on the loan itself).

Hire a qualified lawyer for bankruptcy. A paralegal would not understand all the issues. It is not just the forms needed to be filled and filed. Also, you need an expert who can give you a qualified opinion considering all of your target areas. You must file before the foreclosure sale takes place, a time that usually is only 20 or so days after the foreclosure process starts with a letter to you or a notice in a newspaper.

 Suing to Enjoin Foreclosure before It Occurs

To obtain an injunction, you must file a complaint in a court. You will need a lawyer. Only a qualified lawyer can tell you how to obtain an injunction. Sometime a bond is required, and more often the requirements of a bond are dispensed with based on proper grounds.

There is a “clear” showing of “immediate and irreparable injury, loss or damage” or “that the acts or omissions of the adverse party will tend to render [the] final judgment ineffectual., in seeking Temporary injunction. Judges take this requirement seriously.

The most difficult requirement of all may be the need to give a bond “in such sum as the court … deems proper” unless you successfully obtain permission to bring the action as an indigent person. A homeowner with only modest amounts of other assets and income may be unable to qualify as indigent and may also be unable to find anyone willing to provide a bond, especially one on short notice.

 Suing to Set Aside a Foreclosure that Has Already Taken Place

The grounds for setting aside a foreclosure are limited to “some evidence of irregularity, misconduct, fraud, or unfairness on the part of the trustee or the mortgagee that caused or contributed to an inadequate price.” Defenses like the absence of a delinquency or violations by the lender of federal or state commercial law may not be raised.

The burden of proof is upon you in a lawsuit to set aside a foreclosure. Damages are the only remedy. There is nothing to prevent a third-party purchaser from keeping your house even if he knows of your claim against the lender and even if he believes that your claim is meritorious.

 Filing a Counterclaim in the Detainer Action after Foreclosure Has Occurred

Foreclosure may be challenged by a counterclaim when the lender (or other new owner of the property) seeks possession by a “detainer” action. It is better to file the counterclaim in writing, and the grounds for doing so are discussed below. It is preferable that you use a lawyer to assist you, but most persons do not.

Lenders may assert that a wrongful foreclosure may not be challenged even when the parties are before the court on the issue of possession, the right to possession is necessarily founded on ownership, and ownership depends on the lawfulness of the foreclosure.

Not every new owner is successful in obtaining possession. It may overlook the proof that is necessary to show that it the foreclosure was conducted properly and that it was entitled to foreclose – things like affidavits or testimony showing that you did not make timely payments. You may and should contest every assertion made by the new owner, even if you do not have a lawyer. The new owner has the burden of proof. If it fails to meet that burden, the judge may conclude that you are entitled to remain in possession even though you no longer own the home.

 On the other hand, if the new owner is successful in the detainer action, it is entitled not only to possession but also to the rental value of the property from the date of foreclosure until the date of removal.

Must furnish a bond

 The amount of it can be prohibitive: a “sufficient amount to cover, besides costs and damages, the value of the rent of the premises during the litigation.” Even the furnishing of an affidavit of indigency may be insufficient to retain possession during an appeal.

 Filing Bankruptcy after Foreclosure

 It is possible to set aside the foreclosure through the bankruptcy process. The grounds that may be asserted are discussed below.

 There is some good news even if you lose the challenge; bankruptcy usually discharges all or part of a deficiency judgment against you for any amount still due after the foreclosure occurs.

Procedural Grounds for Challenging the Foreclosure

Failure to Give Personal Notice. No personal notice to a borrower is required by statute. However, we believe that federal and state constitutions require personal notice to each borrower, either by summons or by certified mail that is actually received, and we are litigating cases so as to establish this principle.

Insufficient Notice by Newspaper Publication or Posting in Public Places. Under Nevada statutes, advertisement of a foreclosure sale must be made three different times in “some” newspaper “published” in the “county where the sale is to be made.” Only 20 days’ notice is required, and the use of publications read almost exclusively by lenders and lawyers is permitted. Both the shortness of the time and the use of obscure newspapers seem vulnerable to constitutional objection.

Failure to Give Notice Required by the Deed of Trust. Many deeds of trust require notice of foreclosure by certified mail, or at least by mail, in addition to notice by newspaper publication. Many also require notice – before foreclosure is sought — that the entire sum has been declared to be due because of a late payment or other default. No Meaningful Opportunity to Dispute the Foreclosure. This too is a constitutional challenge to Nevada’s foreclosure process. It is based on the notion that making you find a lawyer and file a lawsuit in 15 days, assume a high burden of proof, and furnish a bond are unfair hurdles imposed on you. Defects in the Foreclosure Sale. Nevada judges have said that the foreclosure must occur in the county in which the property is located; it must take place at an accessible location; and a lender may not use a purely technical default as a basis for foreclosure. However, when the lender demands the full amount of the debt, they have refused to let the borrower cure the delinquency by paying the disputed amount before the foreclosure occurs. They also have ruled that there is no minimum price that must be paid and have allowed the lender to recover a deficiency judgment if the amount received in the sale is less than the amount owed. They have yet to decide whether the combination of a shockingly low price and another procedural defect are sufficient to disallow the foreclosure.

 Substantive Grounds for Challenging the Foreclosure

The following claims and defenses are among those that may be raised so as to defeat a foreclosure altogether or reduce the amount of any deficiency:

 Late Payments Were Accepted on Other Occasions. This suggests that the lender waived the right to refuse late payments and was estopped from foreclosing.

The Lender Refused to Supply a Pay-Off Amount or Accept Full Payment so Foreclosure Could Be Avoided. Despite unfavorable precedent, this could be a viable ground. A Borrower was in Military Service at the Time of the Foreclosure. The Loan was Unconscionable. That is, the inequality of the bargain is so manifest as to shock the judgment of a person of common sense, and the terms are so oppressive that no reasonable person would make them on the one hand, and no honest and fair person would accept them on the other. The Making of the Loan, or the Servicing of It, was Riddled with Unfair and Deceptive Practices that Violated the Nevadae Consumer Protection Act. The Servicer Collected Unauthorized Fees for the Escrow Account, or as Late Charges, or as Attorney Fees during the Foreclosure Process. One Spouse Was Required to Sign the Mortgage Note even though the Credit of the Other Spouse was Sufficient. One or More Borrowers Lacked the Mental or Physical Capacity to Borrow. The Mortgage Broker Was Paid an Unlawful Sum by the Lender. The Lender Violated a Relationship of Trust with the Borrower that Developed in the Lending Process. There Was Fraud or Misrepresentation by the Lender in the Making of the Loan.

Stop Foreclosure

Here is a list of 10 things that might help you stop foreclosure, before you even get a foreclosure warning or a ‘late payment’ letter.  It’s not a ‘to do’ list, it’s actually a ‘NOT to do’ list…but follow this like it’s the 10 commandments, because each and every one of these offenses has the potential to send you hurtling over the edge of financial despair.

1. Do NOT fail to accrue savings for an emergency.
Many wants and needs face each of us each day. Every dollar we earn seems to have its path determined before it comes to our hand. This often results in people putting aside little or no savings for a rainy day. Yet, rainy days do happen, that fact we know. I would love to see homeowners with six months of mortgage payments in savings. As a minimum people should have one to three months of mortgage payments as a reserve to help stop a foreclosure.

2. Do NOT get caught without a Home Equity Line of Credit in place.
If something comes up forcing you to stop a foreclosure you will need money fast but the options may be gone by then. At least 90% of foreclosures could be prevented or delayed if home equity lines of credit were previously activated. Setting up an equity credit line can often be done for no cost and can lock in rates as low as 4%. In most cases you pay nothing each month if you do not access the line. No one ever expects sudden health problems, loss of a job or emergency requiring funds fast. By definition, these unforeseen events might prevent obtaining a loan once they occur. By setting up a home equity credit line before you ever miss a mortgage payment, you will have money when you really need it. No reason to fill out an application again, just write yourself a check. When things get back in order, pay back the line and then use it again the next time. Just be careful not to use the line for frivolous purposes and you will love your home equity credit line – especially if you never have to use it.

3. Do NOT miss a mortgage payment.
This may seem like a “no-brainer”, but every foreclosure traces its origin to missing one mortgage payment. Keep these things in mind here:

1. Skipping a mortgage payment ranks as a far more serious issue than missing a utility or credit card payment. Consider not spending on non-essentials, ignoring a different bill or using savings before letting a mortgage obligation pass.
2. Once you have missed a mortgage payment you have started down a slippery slope and missing a second, third or forth payment becomes easier from a psychological point of view.
3. Once you have missed a mortgage payment, your credit suffers an immediate blow, which may stop you from getting the loan you need to save your house. While some foreclosure prevention loans remain options deep into the foreclosure process, how much you can borrow decreases with each corresponding decrease in your credit score. Often the difference between what you could have taken as proceeds from a foreclosure prevention loan or refinance before you miss your first mortgage payment and the loan available after missing several payments means the difference between keeping or losing your home.

4. Do NOT fail to ask for help.
Some say, “A friend in need is a friend indeed” but when it comes to trying to stop a foreclosure, pride must take a back seat. Fear, shame and embarrassment just touch the edge of the deep emotions that affect someone losing their home to foreclosure. The last thing someone in foreclosure wants to do is admit to a parent or sibling that they have gotten into such trouble. Yet no one other than a parent, sibling or close friend would stand by your side and help you through an experience as difficult as a foreclosure. Remember these items:

1. People will learn of your situation when it hits the papers or when you have to move out of the house, wouldn’t you rather they heard the news from you first?
2. Most people whom you care about will be more understanding than you expect and will not try to make you feel like a failure.
3. You may be surprised at what kind of help will be offered and the difference it can make in saving your home from foreclosure and making you feel better about the whole situation.

5. Do NOT ignore the lender.
Somehow getting behind on a mortgage comes with a built in belief that phoning your lender constitutes a sin or that a call to a lender will result in their ripping your head off right through the chord. In truth, most lenders appreciate knowing why you are having trouble and like updates on how things are going, especially when your problems have justified reasons like health issues or the loss of a job. Treat letters from your lender as wake up call from a concerned neighbor rather than a threat from a bully. Remember – banks want to help get you back on track, they want their payments not your house. If you do not think you can talk to them yourself about a plan there are professional foreclosure negotiators who can help if you have fallen behind.

6. Do NOT deny you have a problem.
The technique most commonly employed to deal with a foreclosure or financial crisis remains the “ostrich” method of ignoring the problem. A related option involves reacting to the issues by losing hope and giving up. Following these paths will surely lead to never stopping the house foreclosure. From the time one evens thinks a payment will be late only a limited amount of time exists until the foreclosure auction and with each passing day more options become unavailable. Face the problems, deal with them, and find solutions.

7. Do NOT think you have no options, Do NOT fail to take advantage of them.
You may believe, or your lender may lead you to believe, that you must pay them in full or lose your home to foreclosure. In fact, many options exist which will allow you to keep your house and stop the foreclosure proceeding without paying all of your arrearage at once. Some choices may even reduce what you owe on your property by tens of thousands of dollars. Almost everyone has some options and the sooner you act the more options you have. As the foreclosure date gets closer, options continue to become unavailable until by the foreclosure date only payment in full or a bankruptcy filing remain. Read more about what foreclosure prevention options you have and take action as fast as you can.

8. Do NOT spend what money you have on other bills.
After missing mortgage payments for 3 or 4 months a mortgage company may “call” or “accelerate” the home loan. Once this happens they no longer take a single monthly payment, instead insisting all back payments be made at once. While other options short of paying all arrearage may be negotiated, the biggest mistake people make at this time involves allocation of what little cash they do have. It almost seems natural since the mortgage company says they do not want your money, and the second mortgage company, credit cards and others call everyday demanding money, the proper thing to do it pay the others. If there are ten people calling, making nine happy means fewer calls for you and less headaches in the short run. In the bigger picture this represents a critical mistake. At some point you will need those funds to save the house. Many methods exist to stop a foreclosure but they will all require money. Ask yourself this, “Would you rather lose your credit cards or loose your house?” If you want to keep the house and you cannot pay what they want just save what you can, you will likely need it for whatever steps you might take to save your home. For much more on this subject read “Who to pay when you can pay everyone”.

9. Do NOT stop making payments.
You’ve missed a mortgage payment. Now comes the second month and you get a bill for two payments. Part way thought the month you have the money for one payment, but the bill says you owe two so you do nothing. Think carefully before you fall into this trap. There will come a time when the bank will demand you pay all you owe them and they will take no less. Until the bank refuses to take your money consider making what payments you can. This will show the bank you intend to pay them and show them efforts are being made. More importantly if over four months you made only two payments you may be only 60 days behind, while that may not make the bank happy, it may not meet their criteria to start a foreclosure. Keeping in touch with the bank and making some payments can delay the start of foreclosure many months. Hopefully during that extra time you can solve the underlying problems and avoid ever having a foreclosure. On the other hand, if you have no hope of ever keeping the house anything you pay to stay longer should be viewed more like rent, which may or may not make sense depending on your personal circumstances.

10. Do NOT miss bankruptcy filing deadlines.
Proper filing of a Chapter 13 Bankruptcy always stops a foreclosure in its tracks. When a Chapter 13 plan to pay back creditors meets approval from the court and the debtor pays all the payments under the plan the foreclosure never starts up again. Failure to make payments gives the creditor the option of restarting the foreclosure when it left off before the Chapter 13.

1. Points to remember: You must file on time; failure to meet a filing deadline could result in losing your home.
2. You must make all payments required under the plan; otherwise creditor can start the foreclosure back up.