While bankruptcy is not an instant cure for foreclosure, it could help you save your home, depending on which type of bankruptcy you file.
A Chapter 7 bankruptcy, in which most of your assets are liquidated and sold to your creditors, will halt a foreclosure case for a short time, but it will not prevent a foreclosure.
A Chapter 13 bankruptcy, in which you enter into a repayment plan on your debts, can save your house from foreclosure if you make all payments under the repayment plan.
You should contact a bankruptcy attorney to determine whether or not bankruptcy could help you save your home and deal with other debts you have. Contact Legal Aid at 1-888-817-3777 to see if you qualify for our bankruptcy assistance. You can also find out the date and location of the next free brief advice clinic.
This information was updated in April 2024.