How can I save my home and avoid foreclosure through bankruptcy
One way to save your home and avoid bankruptcy is to file for bankruptcy.
When a bankruptcy law called the automatic stay comes into effect with most bankruptcy filings, most foreclosure processes are stopped. Unlike state court actions such as seeking injunctions against foreclosure, you don’t have to claim the misapplication of mortgage payments, the addition of excessive fees, or some other unlawful behavior by the mortgage company. Foreclosures stop because the automatic stay law requires it.
Your mortgage company may have rejected your requests for loan modifications. Specifically, you may have applied for a mortgage modification asking for your back mortgage payments to be rolled into your balance. And your mortgage company have have rejected your request. That does not matter. A successful bankruptcy case stops the foreclosure of your property, even if your mortgage company does not agree.