If you are struggling to pay your mortgage each month, you are not alone. Many individuals find themselves struggling to make their mortgage payments and don’t know where to turn. Many homeoweners experience financial changes and whether they can make a mortgage payment can become a concern. Many individuals find it stressful when something in life happens beyond their control, and the mortgage company won’t work with them. If foreclosure is in the near future it is time to seek some help by speaking with a Staten Island bankruptcy lawyer.
If you are woondering ” If I have fallen behind on my loan modification what can I Do” you have come to the right place. Karra L. Kingston Esq. has helped many individuals in Staten Island and New York file bankruptcy and keep their homes.
Using Chapter 13 to Stay in a Loan Modification
A chapter 13 bankruptcy, can be a great way to stop a Staten Island foreclsore. With a Chapter 13 bankruptcy, you may be able to keep your exitisitg modification by getting into a repayment plan. By filing a Staten Island bankruptcy petition all foreclosure proceedings stop. If you have the income readily available, you may be able to pay the arrears over a 3-5 year repayment plan. For a Staten Island Chapter 13 bankruptcy to work, you will need to show that you can afford to make the payments. Thus, you will need to show the bankruptcy cour that you can maintain a basic standard of living while also paying back your mortgage payments.
Filing a Chapter 7 Bankruptcy to Stop a Foreclosure in Staten Island
A chapter 7 bankruptcy in Staten Island, can be a good way to stop a foreclosure. Many people automatically assume that the only way to stop a foreclosure is to file a chapter 13 bankruptcy petition. This is not true. The New York Bankruptcy Courts allow individuals to enter into loss mitigation to stop the foreclosure of their home. A debtor can request a loss mitigation, which enables the debtor and bank to work together to come up with a resolution. With a chapter 7 bankruptcy, the debtor can get their unsecured debt eliminated while trying to save their home. When a debtor requests to enter a loss mitigation the mortgage company sends the debtor a new modification package to fill out. This process is overseen by a bankruptcy judge, making the modification process more fair. During this process the debtor, and the individuals bankruptcy lawyer, plus the bank’s lawyer and the bankruptcy judge, will have status hearings to routinely hear what is going on with the modification process. The modification process in Bankruptcy Court is a lot faster than State Court and much more efficient. Having a bankruptcy judge oversee the case makes sure that the bank’s attorney is taking the necessary steps to act in good faith.
Obtain a New Loan Modification by Applying for Another Loan Modification
If bankruptcy is not in your cards, then you may be able to try and apply for a second loan modification. This option can be tricky and you need to hire a good foreclosure attorney to help you. Banks are usually hesitant to give individuals another loan modification after already having been granted one. Your loan servicer will look to why you fell behind and if there is any programs that you can enter into to try to save your home.
If you have questions about obtaining for another loan modification in Staten Island, contact Karra L. Kingston Esq. our Staten Island bankruptcy lawyers and New Jersey bankruptcy lawyers can help you save your home from foreclosure. You can call us at 973-979-9078 or email us at karra@klkbankruptcylawyer.com