Centralhatchee, GA Bankruptcy Law Firms & Lawyers

               When a bankruptcy case is filed, with few exceptions an “automatic stay” goes into effect.  The stay prevents creditors, including mortgage lenders, from taking any action to collect a debt.  If a foreclosure is pending, it must be stopped.  If you file a Chapter 7 bankruptcy, however, the foreclosure may only be stopped temporarily.  The lender will likely file a motion for relief from the stay.  Such motions are routinely granted by the Courts.  This will allow the lender to start the foreclosure process again.                  Usually, the better alternative to deal with a mortgage arrearage is Chapter 13.  Chapter 13 allows an individual or couple with regular income to deal with their debts by making regular payments to a Chapter 13 Trustee over a period of 3 to 5 years.  The plan can cure an arrearage on a home mortgage over a 60 month term, and deal with other short-term debts such as credit cards, car loans, and medical bills.  This can free up funds so that future mortgage payments can be made in a timely manner.                 In addition, in many jurisdictions a Chapter 13 plan can “strip off” a second or third mortgage on property, if the property value is less than the amount owed on the first mortgage.  Once the lien is stripped off, the 2nd mortgage can often be paid little or nothing through the plan, and the remaining balance completely discharged at the conclusion of the plan.   (Lien strips are also available in Chapter 7 cases in many jurisdictions, but stripping off a junior lien still does not solve the problem of an arrearage on the first mortgage.)                 Another huge advantage of Chapter 13 is that your attorney fees can be included in the plan, so that the case can be filed without a big upfront expense.                 Deciding whether to file a bankruptcy case, and if so what chapter to file under, can be complicated.  It is critical to get good advice from a qualified and experienced bankruptcy attorney before making your decision.                 Morgan & Morgan of Athens, Georgia has more than 30 years experience helping homeowners save their homes through Chapter 13.  We offer a free initial consultation with an experienced attorney, NOT a paralegal or assistant, to fully evaluate the client’s options.  Chapter 13 plans can be started with as little as $75 up front.  If you are facing foreclosure, call (706)548-7070 today for an appointment.  

You need to be careful and before you do this, talk to an attorney. There are complications with this option, depending on what chapter bankruptcy you are going to file. Generally, it is never a good idea to borrow money just before filing a bankruptcy, but there are some exceptions under certain circumstances. Fat advice from the attorney you want to hire.

If you are filing a claim in a Georgia court, then your attorney ideally needs to be licensed to practice in Georgia. The attorney can live in Alabama or South Carolina, as long as they are licensed in Georgia and are willing to work in the Georgia court. You may want to contact attorneys who live and work near the Georgia border with Alabama (or South Carolina) and see if you can find someone licensed in both states. It's not uncommon for attorneys who live near a state line to be licensed on both sides of it.