Best Consumer Protection Lawyers in Oakland, CA

BEHIND ON MORTGAGE PAYMENTS? THREE WAYS BANKRUPTCY MIGHT BE THE SOLUTION: 1. GET RID OF THAT UNDERWATER 2ND MORTGAGE. Do you have a second mortgage (often called a “Home Equity Lines of Credit” or “HELOC”)? If this 2nd mortgage is currently underwater – i.e. the value of your home is less than the amount owed on your 1st mortgage – then bankruptcy may allow you to remove (strip off) this 2nd mortgage. 2. FIVE YEARS TO CATCH UP PAYMENTS. Are you 12, 24 or 36 months behind on mortgage payments? Ordinarily, it's impossible to catch up so many missed payments. And as long as you are behind, you are at risk of foreclose. Any equity you have is at risk. But in a chapter 13, you can legally halt foreclosure, while you catch up missed payments over as long as five years. 3. COURT-SPONSORED MODIFICATION PROGRAM. The Northern District of California Bankruptcy Courts offer a program called Mortgage Modification Mediation (“MMM” for short). This program creates a structured environment in which borrowers seek voluntary modification with their bank, while the bankruptcy prevents any foreclosure. For those who are substantially behind on mortgage payments, this program may be invaluable.