In South Carolina, a lender will send you written notice of a home foreclosure by serving you with a summons and complaint. Once you receive these papers, you have 30 days to file an answer with the court. Even if you miss this deadline, however, you may still be able to save your home.
Before you give up, discuss your financial situation with an experienced attorney. You may be able to stop the foreclosure right up until the auction — and in some cases after.
If you are having difficulty keeping up with mortgage payments, you are not alone. The federal government’s Making Home Affordable (MHA) Program includes a variety of options to South Carolina homeowners who are behind on their mortgage payments. Bankruptcy may also provide a way to keep your home or at least give you more time to explore your options.
Here are some ways bankruptcy can you deal with home foreclosure:
- Filing Chapter 7 or Chapter 13 puts an immediate stop to a foreclosure action. This may give you time to obtain a mortgage modification.
- Filing bankruptcy allows you to discharge other types of debt such as credit card and hospital bills, making it easier to keep up on house payments.
- Filing Chapter 13 bankruptcy allows you to put mortgage arrearages in a payment plan without penalties or interest. You may also be able to discharge a second mortgage.
- If you end up deciding you can’t keep your home, filing Chapter 7 bankruptcy can discharge any deficiency judgment after the foreclosure .
The Reed Law Firm in Columbia files helps homeowners in South Carolina defend against foreclosure actions.