However, all is not lost, there are several tools that a homeowner has that can help stop a foreclosure but this blog is going to focus on Bankruptcy.

When you file a bankruptcy under title 11 of the united states code, there is an automatic stay that goes into place.  This is simply a legal injunction that prevents the foreclosure from occurring.  If you have never filed for bankruptcy then you will automatically get the automatic stay protection the second you file the bankruptcy.  It is important that you also provide proper notice to the mortgage company and their lawyers to stop the foreclosure.  In some cases, if you have had multiple bankruptcies within the last year, the automatic stay may only be in effect for a short period of time or no time at all.  As long as the automatic stay is in effect, your mortgage company is unable to proceed with foreclosure.  In order for them to try and foreclosure they must file a motion to relieve the automatic stay in the bankruptcy court.  This takes time and can only be filed under certain circumstances.