Stopping Foreclosure

The economic troubles of the last few years have left an increasing number of Americans in dire financial straits—particularly homeowners who have found themselves locked into adjustable rate mortgages or other subprime loans. Decreased wages or increased interest rates can make it difficult for even the most financially cautious individuals to stay up-to-date on their property payments.

Foreclosure is the legal term used to describe what happens after borrowers fall several payments behind on their mortgage bills and a lender initiates a legal process to sell off one’s home. The process begins when a person receives a court summons that outlines the lender’s complaint or reason for seeking legal action.  From this moment on, time is of the essence; if a homeowner delays in responding to the summons, he or she may forfeit valuable legal rights.

If a person has severely fallen behind on his or her mortgage payments, trying to catch up without filing for bankruptcy can be nearly impossible. Among the benefits of filing for bankruptcy is, first and foremost, the automatic stay. This prevents creditors from seeking additional repayments until a legal decision has been reached by the court overseeing the bankruptcy process. One of the main advantages to filing Chapter 13 bankruptcy is that one may benefit from the chance to reorganize one’s payment schedule, thus allowing one to catch up on missed payments over a three-to-five-year period.

Please visit our mortgage loan modification page to see if there are other ways that we can help you keep your house.

The Law Offices of David I. Pankin, P.C., have over a decade of experience assisting clients in keeping what matters most to them. Upon contacting us, we will review your case and, among other things, look to see if a lender has violated the Truth in Lending Laws or has committed an offense detailed in New York State’s Unfair and Deceptive Practices Act. If you are struggling beneath the threat of foreclosure, please do not hesitate to contact our office by phone at 800-529-5910 to arrange for a free, initial consultation.