In the downtrodden economy, widespread mortgage delinquency is no surprise. After a job loss, divorce, injury or death in the family, a financial setback can be devastating. It is not unlikely that you or someone you know is underwater with a mortgage payment. In attempts to save a home, a family may try to recover after getting behind on mortgage payments, but this cycle can often lead to foreclosure.
If you are in New City, New York and behind on mortgage payments or facing foreclosure, remember that you do have options and rights. Filing Chapter 7 or Chapter 13 will put a stop to all legal action by your creditors. A Chapter 13 may give you the opportunity you need to restructure your debts and prevent the foreclosure of your home.
Whether you are delinquent on mortgage payments or you are behind on credit card, student loan, taxes, and other debts, there is relief available. Many debts can be eliminated or reorganized through bankruptcy.
Delinquencies include all loans that are at least one payment behind, but not yet in the foreclosure process. Some experts believe that delinquency rates are high as a result of persistently high unemployment rates nationwide.
A recent report by the Mortgage Bankers Association found that the delinquency rates for mortgages rose for the first time in a year. According to financial experts, the rise in delinquency rates may be related to a failed recovery in the housing market. The delinquency rates on all loans climbed to 7.58, up from 7.4 in the first quarter.
If you are behind on mortgage payments, you are not alone. Debt relief, including bankruptcy may be available to you. An experienced advocate can examine your income, debts, and assets and help find a solution that works for your family or your business.
Source: Reuters, “Home delinquency rate rises in 2nd quarter for 1st time in a year,” Leah Schnurr, August 9, 2012.by