It’s a sad fact that foreclosure – losing your home – is at an all time high. In some cities as many as 1 in 4 houses are in foreclosure or will be soon. This is a complicated decision because foreclosure is governed under state law, while the Bankruptcy Code is governed by federal law.
Almost every house in the US is purchased with a loan. In some states this loan is called a mortgage, in others it is called a deed of trust, but in both cases you have promised to pay your loan in accordance with the signed loan documents. If you do not, the bank that funded the loan is entitled to take back the property. The bank will notify you that you are in violation of the promise to pay, and that they intend to take back the property at a certain date with a Notice of Foreclosure.
Here is where it can be tricky! In some states, the bank only has to give you thirty day from the date of the notice, while in others it is 90 days or more. If you live in a state where it is just 30 days, you need to understand that it is actually less! In most cases you must have a certified check in the creditors hand by at least 3 – 5 days before the date of the foreclosure, and often it takes a few days for the mail to reach them!
If you are served with a Notice of Foreclosure, you need to contact a bankruptcy attorney to stop the procedure! Failure to take immediate action could end up with a knock on your door from a sheriff’s officer telling you that the house has been sold and you have hours to remove all your possessions!
For your convenience, we have several bankruptcy law office locations (Irvine, Valencia, Glendale and Sherman Oaks); and, we also can handle your matters by phone, fax or e-mail.
Our bankruptcy offices are open from 8-5, with weekend and evening appointments available. To schedule your free bankruptcy consultation, please call 800-627-1740. Your next step in getting a fresh start is to contact us.
Please don’t wait until it is too late. Call us today.