Can Bankruptcy End Foreclosure? Three Facts about Texas Foreclosures

Written by Channel 8 Cleveland on September 24, 2013. Posted in Foreclosure dallas tx, Houston seo company, Mortgage foreclosure help

Mortgage help center

Did you know that Texas reported a total of 56,801 completed foreclosures during 2012, making it one of the five states with the highest foreclosure rates? Unfortunately, foreclosures happen to many people. Foreclosure dallas tx happens when the homeowner is unable to make payments on their home. Many people have questions about foreclosure, and hopefully we will be able to provide you some home foreclosure help.

1. Can I Send Some of the Money I Owe?

Not without restructuring your payment, no. Some people mistakenly believe that some is better than none since at least it shows you’re trying. In reality, though, the bank is going to receive your check and just mail it right back to you. The exception to this is when you and the bank have met and agreed to facilitate a workout plan that allows you to pay in smaller amounts while you get back on your feet. Remember that a bank is full of thousands of employees. Not everything they do is logical or even in their own best interest as a company.

2. So You Can Refinance to Avoid Foreclosure?

In most cases, the answer is yes. Your first bet is usually to go to your bank and discuss it with them. The government, however, also has a vested interest in keeping home owners in their homes. For this reason, there are many legal safeguards available to you. Government options for refinancing include PRA, 2MP, HAMP, and HARP. If you enroll with HAMP, for example, it can help you lower your mortgage payments to just 31% of your income. Remember, your best bet is to start negotiating early, rather than hoping your foreclosure crisis will just go away.

3. Can Bankruptcy End Foreclosure

Yes and no. Bankruptcy will, in most cases, stall foreclosure for about four months. If the notice of foreclosure has already been filed, though, it’s not going to stop that process completely. Your best bet is to file for foreclosure before you become overdue on your mortgage payments. Most people will file for either Chapter 7 or Chapter 13 bankruptcy, at which point the court issues an order saying that all creditors must cease their collection activities against you. Foreclosure help in Texas can also come from a mortgage help center. Just be wary of “help” businesses trying to take advantage of your situation.

Have you had to deal with a foreclosure Dallas TX? Let us know

Comments (1)

  • October 20, 2013 at 9:23 am |

    hm, interesting. I never thought about how bankruptcy could impact foreclosure, it’s good to know. My mom had to go through this several years ago, i’m not sure what the details were but she ended up hiring a lawyer and all this stuff

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