Article by Lisa Jones
When A Loan Mod Cannot Halt Foreclosure, Filing For Bankruptcy Can ? Finance ? Bankruptcy
Search by Author, Title or Content
Article ContentAuthor NameArticle Title
Home
Submit Articles
Author Guidelines
Publisher Guidelines
Content Feeds
RSS Feeds
FAQ
Contact Us
Since the real estate crisis, that started in 2007 and has continued to grow, Congress has not been able to put through any type of legislation that will enable Americans having trouble making their payments to alter their mortgages. In 2008, Pres. Obama assured 9 million families that he would assist them stopping foreclosure. After going over the most current numbers for 2010, it looks like the HAMP program is not doing well at all. There have been five times as many individuals ousted out of the program then those that were given any sort of help. That does not appear to be very effective in a time that the White House calls an economic recovery. Moreover, the foreclosure and bankruptcy issue continues to soar.
Not long ago, a few union leaders devised a concept to offer all their stocks and bonds invested in financials is the financial institutions do not begin altering mortgages to assist homeowners in avoiding foreclosure. The unions apparently have 300 million invested, and several people believed that these were not idle threats. In 2009, there was legislation in the works to alter mortgages when a person is filing Chapter 13 bankruptcy. The bills that were brought forth were axed because of the big lobby that the banks have in Washington.
One of the cable news stations claimed that a union leader was planning to try to get homeowners that were in trouble as a collective body to not make any payments to financial institutions. They believed that the financial institutions would be in trouble if every individual collectively ceased making their monthly payments. This gang of homeowners in trouble that is dealing with foreclosure and or bankruptcy makes up a significant collective group. However, because of the lack of vital organization they cannot compete with the deep pockets of the banks.
Because of the trouble being a continuous issue, people dealing with foreclosure should talk to a bankruptcy lawyer to determine if filing for bankruptcy would be a good approach that would let them avoid foreclosure and keep their home. If the homeowner wishes to give up their home, a good idea for them would be to file Chapter 7 bankruptcy to eliminate any deficiencies if the property is under water. A Chapter 7 bankruptcy would additionally be advantageous if the debtor as a significant amount of unsecured debt. Often credit card debt is a huge reason why a person is struggling to make their mortgage payments. Eliminating all the unsecured debt can sometimes make their house payments suddenly manageable.
On the other hand, Chapter 13 bankruptcy has the strength of the court on its side. A Chapter 13 will let the debtor deal with your creditors and make a payment plan that will go on from 3 to 5 years. With a Chapter 13, bankruptcy the debtor can negotiate with the mortgage holder to catch up on any back payments and often take off the second if the home has decreased in value. When the home decreases in value beneath the first trust deed, the second is unsecured because the land has no value in order to secure the loan. In a Chapter 13 bankruptcy, debts are paid in the order of importance with secured debts such as a mortgage or car being paid first and unsecured debts being paid last. Any unsecured debt that remains at the end of the chapter 13 payment plan will be dismissed.
In regards to halting a foreclosure, filing for bankruptcy is a sound option. At the head of the list is Chapter 13 bankruptcy for securing your home. Filing bankruptcy can be confusing and should be approached with the assistance of a bankruptcy lawyer that is trained in cases like yours. Before it is too late to do anything, talk to a bankruptcy lawyer to determine if filing will improve your situation.
About the Author
The author formed http://FilingBankruptcyNow.Com that specializes in filing for bankruptcy under Chapter 7 and Chapter 13 bankruptcy and helps individuals with debt problems and helping stop foreclosure by putting them in touch with a local bankruptcy lawyer. Check our website for more answers to bankruptcy questions for a debt free future.
Use and distribution of this article is subject to our Publisher Guidelines
whereby the original author?s information and copyright must be included.
Lisa Jones
RSS Feed
Report Article
Publish Article
Print Article
Add to Favorites
Article Directory
About
FAQ
Contact Us
Advanced Search
Privacy Statement
Disclaimer
GoArticles.com ? 2012, All Rights Reserved.
mythbusters cannonball uss arizona myth busters tracy mcgrady tracy mcgrady mash alec baldwin kicked off plane
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.