Foreclosure in Beavercreek Ohio, can be prevented by filing for bankruptcy. It is a last resort, but it can save your house. Chapter 7 bankruptcy can include your mortgage and prevent foreclosure in the beginning. The problem with Chapter 7 is that once the bankruptcy is approved, your mortgage company can file a request with the bankruptcy court to proceed with the foreclosure. If permission is granted by the court, you can still lose your house to foreclosure even though you filed for bankruptcy. Chapter 7 is the most common form of bankruptcy because it is quick, relatively easy, and cost effective. The total for filing Chapter 7 is close to $1,500.
Chapter 13 bankruptcy is a better option to prevent foreclosure because it allows you to pay your mortgage arrears over time. It can also reduce or eliminate a second mortgage altogether if you have one of those. Filing is more expensive, with the average cost being $3,900, but not all of it is due before processing or filing occurs. You can add most of the cost of your payment plan that will run for three to five years. There are some drawbacks to be aware of with Chapter 13 bankruptcy. You may be required to give up part or all of your tax returns while in the plan. If you fail to make payments to the plan, you will then lose your house. Most Chapter 13 payments are taken out of your wages automatically. Because you are in a plan for three to five years, and bankruptcy stays on your credit record for 19 years, you are looking at having it on your report for a total of 13-15 years from the time of your hearing.
If you are going to file for bankruptcy, you should find a lawyer that specializes in bankruptcy law. You should call for an initial consultation immediately after your house goes into foreclosure. You will need to get all your bills and debts together, as well as your wages and social security information. Foreclosure in Beavercreek Ohio, does not have to mean the loss of your house. You can seek protection under Chapter 13 bankruptcy.
