.

Insolvent consumers who are not able to stay current with their mortgage payments may face foreclosure proceedings from their mortgage lender. Due to the number of California foreclosure avoidance measures available to you, avoiding these mistakes will help steer you in the right direction toward defense against foreclosure.

Waiting too Long to Take Action

Waiting too long to defend a home against a California foreclosure is the single biggest mistake that individuals make when facing a looming foreclosure. If you take only one thing away from the article, it should be that there are options available to prevent a foreclosure.

Neglect to Call Your Mortgage Lender

While it may seem that your mortgage lender would not be interested in negotiating your mortgage contract, it is in their best interest for you to continue maintaining the home and making payments. Your mortgage lender can help you file for a loan modification, and therefore, should be your first call in defense of a foreclosure. Even if your lender refuses to modify your existing loan, California Foreclosure law can prevent initiating a foreclosure while your application is pending.

Foreclosure Rescue with Upfront Fees

Foreclosure rescue companies that require an upfront fee to receive housing counseling or to apply for a mortgage assistance program should be avoided. There are plenty of services offered for free if you are facing foreclosure. The US Department of Housing and Urban Development provides free, HUD-approved housing counseling, which can provide you with details on the initial steps in avoiding foreclosure.

Fail to Consider a California Bankruptcy

Some consumers feel that once they receive a notice to proceed with foreclosure of their home, they might as well give up the home. If you desire to remain living in your home, nothing could be further from the truth. Not only can filing for California bankruptcy protection immediately halt your foreclosure, but a Chapter 13 bankruptcy can also allow you to spread out mortgage arrears over a period of three to five years, giving you valuable time to get caught up on payments.

Bankruptcy lawyers in Sacramento, California have the unique ability to utilize the US Bankruptcy Code to ensure your right to debt relief. Avoid these California Foreclosure mistakes beforehand by contacting a bankruptcy attorney in Sacramento who will fight to prevent your foreclosure and safeguard your legal rights.