Can Bankruptcy Save My House in Pennsylvania?

Bankruptcy, Bankruptcy Advice, Chapter 130 comments

For a lot of people, owning a home is symbolic of realizing the American Dream. You know the dream…a comfortable three or four-bedroom home with two new cars parked in the garage. And for a lot of people, owning a home means security down the road. Once they pay off their house in 15 or 30 years, they’ll have a nice nest egg. At least, that’s the plan.

Are you currently facing financial challenges? Are you having trouble keeping up with your monthly obligations? If so, you may be considering filing bankruptcy but at the same time afraid that bankruptcy would force you to surrender your American Dream.

While Chapter 7 does not protect debtors’ homes from foreclosure, Chapter 13 on the other hand, does. Under the United States Bankruptcy Code, debtors can shield their homes from foreclosure and keep their other belongings.

If you end up filing a Chapter 13 to stop foreclosure proceedings, you will propose and eventually enter into a three to five-year repayment plan. Once the bankruptcy court approves your repayment plan, you will make an arrangement to pay back your secured debts, which are the debts secured by collateral, such as automobiles, homes, real estate, and boats – all physical items that can be taken away.

Bankruptcy’s ‘Automatic Stay’

Once a Chapter 13 is filed in court, it triggers what’s called the “automatic stay.” The automatic stay stops the foreclosure process dead in its tracks. When a debtor files a Chapter 13, he or she can catch up with their past-due mortgage payments while staying current with their regular monthly payments.

If your home is at risk of foreclosure, we recommend contacting our firm to meet with a Harrisburg bankruptcy lawyer for free. We cannot only help you file for bankruptcy relief, but we can ensure that the creditor calls and collection letters stop immediately so you can get the peace of mind you need and deserve.

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