Question: I'm facing a foreclosure on my house. I need to stop the bank from taking my home. I'm behind on my mortgage payments. I haven't paid in about 6 months and now I got a letter saying that I was going to be foreclosed. My sister told me that if I file bankruptcy the foreclosure will stop. I can make my house payments now because I got a new job. But I have all those arrears because I haven't paid in 6 months.
I lost my job because I came to work drunk a few times. I admit that I shouldn't have done that but I was going thru a tough time and I just started drinking. I was sober for several years but then I started again.
I worked for a major company and I guess it wasn't a good fit. I worked for the company for over 15 years but things got stressful because of overseas competition and I had to work harder and then I found myself in trouble with booze.
Basically I stopped paying the mortgage and I tried to sell my car, a boat and some paintings that I collected over the years to get some money. I thought my financial situation would turn around quickly, but it didn't.
At least now I have a job and I can pay the house note. But I need to stop the foreclosure.
R.Y. in Alpharetta, GA
Answer: It sounds like you need to file a chapter 13 bankruptcy to prevent a foreclosure. If you file a chapter 13, you can pay-off any of the mortgage arrears over 5 years (usually).
With a chapter 13, you will have to make your mortgage payments going forward, but the 6 months of mortgage payments that you owe can be paid-off under the bankruptcy plan over 5 years.
And just as mortgage arrears can be put into a bankruptcy, so can car payments. We have a number of clients who utilize a chapter 13 to pay off car note arrears. You can put the car loan arrears into a chapter 13 and pay it off over 5 years as well.
If you need to get out of debt, save your house or a car, then we can help you. We understand what you are going through.
When you need to speak with a bankruptcy lawyer, just call us at 678-215-4106.
Experienced attorneys Bill Sherman and Valerie Sherman and the team at the Sherman Law Group will help you navigate the entire bankruptcy process from start to finish.
We proudly serve the entire Atlanta metro area and North Georgia.