Bankruptcy does have an effect on a person’s financial state. Despite this, filing bankruptcy often provides a necessary fresh start for individuals experiencing financial problems and difficulty repaying debts. An experienced and qualified bankruptcy attorney may help reduce stress and uncertainty by providing valuable assistance throughout the entire bankruptcy process.

If you are behind on your mortgage payments and fear default and foreclosure, bankruptcy may a solution to keeping your home. The experienced Sacramento metropolitan area/Northern California defense attorneys at the Montefalcon Law Offices are here to help you if your financial position necessitates the consideration of a bankruptcy case filing under Chapter 7, 11, or 13. Contact us online or schedule a consultation at any of our three conveniently located offices.

A Chapter 13 bankruptcy which reorganizes debts and liabilities is a viable loss mitigation alternative since it may help delay foreclosure until some more feasible solution is formulated, such as obtaining a new loan from a new lender or even a modification from the current lender. Chapter 13 debtors may not modify the terms of a mortgage loan in a Chapter 13 bankruptcy case but may reorganize mortgage debt by paying any mortgage loan arrearages in a Chapter 13 plan of repayment.

Filing a bankruptcy case will stop a foreclosure. As mentioned, a Chapter 13 bankruptcy case allows homeowners to keep their home by allowing them to repay mortgage arrearages in a Chapter 13 repayment plan. Filing bankruptcy may allow a chance to catch up on mortgage payments and, more importantly, keep a home or residence. Thus, for individuals who have experienced a temporary financial setback, a Chapter 13 bankruptcy case may buy enough time for them to get back on their feet.

To learn more about loss mitigation options, contact the experienced Sacramento metropolitan area/Northern California attorneys at the Montefalcon Law Offices. Contact us online or schedule a free consultation at any of our three conveniently located offices. Telephone our downtown Sacramento office at (916) 444 0440, our south Sacramento office at (916) 399-9944, or our Concord office at (925) 222-5929.