Should people be fearful of losing their home if they file bankruptcy?

Not necessarily. You don’t have to ever worry about losing your home just because you file bankruptcy. In a chapter 13, you have the option of making your back payments and your current payments and catching up so you can keep your home. Many people have this impression that if I file a chapter 7, they’re going to take my home away and that is not true at all. The only way a bank can take your home is when they go through the foreclosure procedure and sell your home at the foreclosure sale. Nobody can make you leave your home even a day before the foreclosure sale.  The mortgage company cannot just come and lock you out of your house. It doesn’t happen that way. Give me a call and I will explain to you step by step how that works. Chapter 13 like I said is a reorganization and you have the option if you have the ability to come current on your mortgage payments and keep your house. If your house is underwater, we can also try to get you a loan modification through a chapter 13 bankruptcy. There is a better than 50 percent chance of success that you may get a loan modification through a chapter 13. If you do not like the loan modification you get in the Chapter 13 case, you can reject it, and convert your case to a Chapter 7 if you qualify. There are various options that are available to you. But the one thing is for sure and that is you will not lose your home just because you filed a bankruptcy. I do offer a Free Initial Consultation where I will explain in detail your rights, remedies and obligations. I guarantee you that you will leave my office much wiser than when you came in.