Foreclosure Protection
San Jose Bankruptcy Attorney Comments on Foreclosure Protection...
Residents and consumers in San Jose who are working on a loan modifications may be interested to know that the Obama administration is considering additional protections to ensure homeowners are treated fairly and consistently under its mortgage relief program.
I can’t tell you how many times, as a San Jose Bankruptcy Attorney, I have clients sit down in my office and tell me their house is going through foreclosure but their working on a loan modification. Generally the story goes like this; borrower calls bank and inquires about a loan modification. Bank tells borrower that in order to be considered for a loan mod they must first be delinquent on their mortgage. Generally the magic number is three months. Borrower stops paying mortgage for three months. During this time borrower sometimes uses the mortgage payments on a loan modification attorney or generally spends the money on other expenses. Loan modification fails…surprise! Borrower is now three months behind on their mortgage. Borrower is now facing foreclosure.
It appears that the Obama administration is not unaware of these practices. According to the associated press the administration has cited cases of lenders continuing with foreclosures while homeowners were being evaluated for help. Thankfully, that practice would be banned under the new rules.
Still, these rules apply only to the relief program setup by the Obama administration. Homeowners who are not seeking help under the Obama plan should consider bankruptcy as an alternative. At the very least bankruptcy will stall the foreclosure process and can in certain circumstances provide a solution that will allow a debtor to keep their home!
If you have questions regarding Bankruptcy in San Jose please contact us at 408.279.2288 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys. After you have spoken with one of our downtown San Jose bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Jose and the South Bay!
