Posted On: August 2, 2010 by Scott Sagaria

Can Someone Foreclosre After A Bankruptcy Petition Is Filed?

A San Francisco bankruptcy attorney asks:

Can filing for bankruptcy stop a foreclosure?
Yes. Filing a bankruptcy petition stops foreclosure proceedings and any other adverse action against the individual who files. This means if you have a foreclosure day set on your home you can stop the sale by filing for bankruptcy.

Is my home protected so long as I am in bankruptcy?
That depends. It is still possible for a foreclosure after bankruptcy to occur if the mortgage holder applies for a relief from the automatic stay that went into effect upon the filing of the petition. The lender will generally apply from relief if mortgage payments are delinquent or if there is no intention in keeping the property post-bankruptcy.

If I want to keep my home, what can I do to avoid a foreclosure after bankruptcy?
Generally it is encouraged that an individual who files be current on all monthly payments for property which they intend to keep – such as a home or car. If an individual is filing bankruptcy to stop a foreclosure and wants an opportunity to repay the delinquent amount, post-petition payments of the mortgage amount are needed to indicate to the lender you intend on keeping the property. Otherwise, a foreclosure after bankruptcy is possible.

In a chapter 13 plan, if I miss a few monthly mortgage payments, what can happen?
If you miss your regular mortgage payments the bank can apply for a relief from the automatic stay and explain to the court that normal payments have not been made and they wish to foreclose on the home. In that circumstance a foreclosure after bankruptcy is possible because the required payments to prevent foreclosure have not been made and the lender wants to protect its interest in the property.

If you have questions regarding bankruptcy in San Francisco or bankruptcy in the greater Bay Area please contact our San Francisco Bankruptcy Attorneys at (415) 946-8882 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Francisco Bankruptcy Attorneys. After you have spoken with one of our Bay Area bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Francisco and Bay Area consumers in debt can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Francisco Bay Area!

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