Home foreclosure is an incredibly stressful time. From the stress of possibly losing your home to the stress of being behind on your bills, stopping and avoiding foreclosure can often feel impossible. For many people, bankruptcy can be the only way out.
Thankfully, there are a few simple things you can do to dramatically increase your chances of stopping foreclosure.
- Call Your Creditors
The easiest way to avoid a foreclosure is one few people think to do: call your creditors. Explaining the situation and trying to work out a mutually beneficial action plan is the absolute best way to avoid a foreclosure. It costs nothing and can pay huge dividends when it comes to avoiding foreclosure or chapter 13 bankruptcy.
- Loan Modification
If you can’t work out a repayment plan with your creditor, then you may be able to work out a loan modification. Oftentimes homes go into foreclosure because of adjustable rate mortgages, and a loan modification may allow you to lower the interest rate and make your payments affordable again.
You may also be able to avoid a foreclosure, chapter 7 bankruptcy, or chapter 13 bankruptcy by refinancing your home loan, adding missed payments to the loan balance. Refinancing your home loan can also potentially lower your interest rates as well.
These are just three of the many ways to stop a home foreclosure. Cutler & Associates has been representing Chicago in their chapter 7 bankruptcy, chapter 13 bankruptcy, and foreclosure proceedings for 20 years. We can put an end to collection calls, creditor harassment, foreclosures, and more.