Will Filing for Bankruptcy in Reynoldsburg, Ohio Stop a Foreclosure?

foreclosure for sale sign in front of house
While you didn’t plan for it, as many of us do not, falling on hard times can happen. And when it does, your first concern will most likely be what will happen to your home. With creditors calling and the looming possibility of losing your home to foreclosure overhead, you may feel helpless. But there is hope and ways you can protect your home and your family. If you are facing a foreclosure in Reynoldsburg, Ohio, bankruptcy may be an option for you.

What is the Ohio foreclosure process?

Foreclosure is the process where a lender takes control of a property, thereby evicting the homeowner and selling the property because the homeowner is unable to make the full principal and interest payments on the mortgage, established by the rules of the mortgage contract. In Ohio, the process is known as judicial foreclosure which means the lender must go through the courts to get legal permission to foreclose the property. If approved, the house goes up for sheriff auction where the bank becomes the owner and the sale helps recoup losses. The process typically takes 480 to 700 days from the borrowers’ first missed payment through the sale of the home.

Can filing for bankruptcy stop a foreclosure from happening in Reynoldsburg, Ohio?

A very critical component of Ohio foreclosure is that you should not leave your home until the sale of the property has been finalized and validated by the courts. There are ways you can stop your home from being foreclosed on which includes filing for bankruptcy. By filing for Chapter 7 or Chapter 13 bankruptcy, the foreclosure process comes to a stop and may halt calls from creditors, at least temporarily. Be mindful--the process is not cut and dry--there are certain steps that need to be taken to stop the foreclosure process. And there are important things you need to consider. For example, , if you are unable to make your regular mortgage payment, even after filing for bankruptcy, filing may not be for you.

I want to file for bankruptcy--which should I choose?

If your home is undergoing foreclosure in the Reynoldsburg, Ohio area and surrounding regions, and you want to delay the foreclosure process, Chapter 7 bankruptcy may be for you. This process involves liquidation of assets but does not necessarily mean you will lose everything. In fact, Ohio and the federal government provide generous exemptions that cover the majority of assets an average person owns such as your house, car, household goods, retirement accounts, etc. If you do have assets that may become part of the liquidation process, then you may qualify for Chapter 13 bankruptcy which can also stop the foreclosure and help you keep your home. Filing for Chapter 13 bankruptcy allows an individual to propose a plan to repay creditors over three to five years. In most cases, Chapter 13 allows you to pay your unsecured creditors at only a fraction of what is owed. If you are facing a foreclosure in the Columbus OH, Reynoldsburg OH, Pickerington OH, Blacklick OH, Pataskala OH, Newark OH, Lancaster OH, Whitehall OH, and Canal Winchester OH, New Albany OH, Westerville OH, or anywhere in the entire Central Ohio area, you do not have to go through this process alone. Contact an attorney with the experience and knowledge to save your family home.

Free Consultation with a Bankruptcy Attorney

Having small amounts of debt can happen. But when your family home is on the line, the burden may feel unbearable. Don’t go through it alone--contact The Jones Law Firm for a free consultation about how we can help and whether Chapter 7 or Chapter 13 bankruptcy is right for you. With offices in Reynoldsburg, Ohio, The Jones Law Firm works with clients in and around Columbus and throughout central Ohio.