Bankruptcy Can Stop Foreclosure By Addressing Other Debts
Remember those Magic Eye pictures? On the surface, they looked like a bunch of colored dots. But once you let your eyes adjust, you could finally see the scene hidden inside. You could finally see the whole picture.
Well, the foreclosure crisis is turning out to be a lot like those images. On the most obvious level, the problem appears to be that people are losing their homes because their mortgage payments are too high. Fittingly, the government is handling the problem by encouraging banks to modify loan terms - in theory, this would make house payments more affordable.
But it's not working. Foreclosures are still on the rise. It doesn't make any sense - until you discover that the whole picture is a lot more complex. It's not just that homeowners are struggling to pay the mortgage. It's that they're struggling to pay the mortgage...and the credit card bills and the medical expenses and the tax debts.
Let's say that you are one of the few lucky folks able to convince a bank to modify your loan. You'll still have to deal with those other debts and their associated interest. And the minute your circumstances change (say, you lose your job, your car breaks down or you face any sort of unexpected emergency) you're going to be short on funds and back in the same boat - unable to make that mortgage payment. Only this time, you'll be out of options.
If you want to save your home, you need to get down to the root of the problem. Fortunately, bankruptcy is one of the most effective ways to do so.
When you file for bankruptcy, you get immediate legal protection from creditor actions, from foreclosure to repossessions to harassing phone calls. You get a repayment plan you can afford - or, in some cases, total discharge of debt. And, most important in the long run, you free up all that money that would have been sucked into your debt obligations.
And as an added bonus, finding out whether you're a candidate for a bankruptcy plan is a no-brainer when you sign up for a free one-on-one debt analysis with one of our expert Atlanta bankruptcy attorneys. If you have any questions or concerns along the way, we'll clear them up at no cost and no obligation. Sometimes the solution to a problem is not what it seems. But at DebtStoppers, the answer is crystal clear - bankruptcy can stop foreclosure and save your home.