You may not have to lose your home to foreclosure. An experienced lawyer can help you explore a variety of ways to stop foreclosure. Feel free to ask a Tullahoma bankruptcy lawyer about how bankruptcy might be able to save your home and other property from being taken. Do not hesitate to bring up any questions or concerns you may have about this process.
Ways a Lawyer Can Help Stop Foreclosure
There are several ways to stop foreclosure that a lawyer can help you explore. Foreclosure happens when people fall behind on their mortgage payments for their home. As a result, banks take legal action to take back the home when borrowers are unable to make any house payments for a certain period of time.
Many banks do not want to do this so they will often make attempts to work with homeowners to avoid foreclosure. This is when a lawyer might be able to help you negotiate a new payment plan for your mortgage to help you start making payments again. What this usually involves is a loan modification to lower the interest rate and monthly payments.
A payment suspension might be an option for those with severe financial struggles. An experienced lawyer can help you prove to the bank that you need to pause house payments for a certain time period. If this fails, a lawyer can help you negotiate a new loan with the bank to lower the overall monthly payments and interest rates.
Hiring a lawyer means you will have legal representation to defend you against unfair or bad faith practices by the bank. A lawyer will know what red flags to look for when it comes to mortgage assistance scams. Common signs of a mortgage assistance scam include:
Telling you to stop communicating with your lender
Withholding information related to your loan and service fees
Charging service fees before assisting you
Demanding payment by mobile payment or wiring money
How Bankruptcy Can Save Your Property
If all other options fail for escaping foreclosure, a lawyer can also help you file for bankruptcy. Filing for Chapter 13 bankruptcy will, in most cases, stop foreclosure proceedings against you. Chapter 13 bankruptcy cannot erase your mortgage debt but can extend the payment plan to make payments more affordable.
What this means is more time to pay back debt owed on your home, preventing foreclosure, and lower payments as a result. However, if house payments are missed after Chapter 13 bankruptcy, then the bank may go back to foreclosure proceedings to take your home.
A lawyer can explain how this process works and answer any questions you may have. You do not have to go through this stressful situation alone.
Contact Tom Bible Law for Legal Aid
Finding out you might lose your home can be terrifying. Feel free to contact us at Tom Bible Law today at (423) 424-3116 for a consultation about your options when dealing with foreclosure. Our legal team of Tennessee bankruptcy attorneys might be able to help you take legal steps to stop foreclosure. We are located throughout the Tennessee cities of Chattanooga and Tullahoma.