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See If You Qualify For Bankruptcy Saving Grace from Bankruptcy: Foreclosure 101

Bankruptcy is truly one of the nightmares of every person.

Bankruptcy not only meant you’re under heavy debts which you can’t pay; you’re also at the risk of losing your assets if you fail to pay those obligations. One method of losing your asset is through foreclosure.

So, how should you handle a possible foreclosure? These are the things you should do:

1) Contact your Mortgage Servicer

Just because you’re the one on the bottom side of the deal doesn’t mean you can’t do anything to alleviate your situation.

Talk to your mortgage servicer and ask if there’s anything you can do to cope up with the debts while decreasing the risk of losing your properties.

It will not hurt to ask, and you’ll never know what options you have!

2) Attend foreclosure mediation

If there’s a means to mediate between you and the people you owe with, be there.

Just like what we said above, always seek for options – where it will be a win-win for both you and them. Again, you’ll never know what options you have.

Though, the people you owe with may not be forgiving, this should not stop you from talking to them.

As long as you show up with your obligations, they’ll see what you’re really interested in fixing your debts with them.

Just be sure to actually show up – meaning, you do what’s needed and don’t run away from your obligations.

3) Avoid foreclosure rescue scams

If a company offers a fast way of fixing your foreclosure with you – just pay them a certain (big) amount – then you’re probably facing a scam.

Scams thrive from desperate people, so don’t be desperate. No matter how hard your situation is, keep the discipline in doing the things you need to do. It’s hard, yes, but it’s necessary if you want to save yourself and your assets.

There are also things you shouldn’t do in these situations. Such as:

1) Ignoring letters from the court

This is one-way ticket to sink you down even more in your situation. It will only make things worse!

When a court sends you a letter, open it, read it, and do what’s said there. If things are not good on your part yet, you can always at least try to make an appeal and ask for considerations.

2) Moving out immediately

This is telling them, “Alright, he’s (or she’s) over. Probably he isn’t interested in saving his properties. Let’s get them!”

Two things: Face your problems and do your best to save your properties, or let go of your properties – in a proper manner. And it’s not bad to let go of your properties when it’s the move you need to do. But don’t run away; it doesn’t solve your problems.

3) Hesitating to ask for help

Ask help from your family and friends. Sometimes, you can even ask help from people you owe with. Like I said, as long as you’re really giving the efforts of paying them, they might be more considerate.

Besides, they’re not interested in sinking you down; they want just the money back. If you can do that, they might even like to help you!

So, when you’re in a foreclosure, these are the things you should do and don’t do.

Also, don’t forget that you can always ask help from a bankruptcy or foreclosure lawyer!

See If You Qualify For Bankruptcy

Categories:   Bankruptcy