Few events are more rewarding than buying a home. After years of hard work you finally have a place to call your own, then life gets in the way. Unforeseen hardship can leave you scrambling to make your mortgage payments. Crises such as loss of a job, divorce, or a medical emergency can put you at risk of losing your home.
It may be argued that the banks are at least some degree to blame. Predatory lending practices may contribute to buyers' default. Such practices, which include imposing unfair terms, high interest rates, and undue penalties, can only exacerbate the rate of failure among distressed borrowers.
Lenders are required by law to make a good faith effort to provide options to homeowners facing foreclosure. Yet the truth is most lenders have neither the resources nor the incentive to help. Despite what they may promise, banks rarely refinance loans for borrowers who are already in default.
Fortunately, the law provides a way to save your property from foreclosure. Filing for Chapter 13 bankruptcy stops the foreclosure process. It allows you to repay past due mortgage payments over a three-year or five-year period. In Chapter 13, you can catch up on the arrears, while resuming your regular mortgage payments.
As a top foreclosure lawyer in Buffalo, NY, Thomas Denny has helped many owners save their homes.