Bankruptcy? Or not - Foreclosure notice Received

[rodeo]

We received a foreclosure this morning (Sunday) and are almost 4 months behind. I have been self-employed for the last 4 years and due to clients not paying their invoices to me has caused us to get real behind.

We have owned our home for 2 years now and I start my new job tomorrow (Monday). WE WANT to KEEP our HOME. I don't know if I should file bankrupcy or try to negotiate with the lender. My wife is foreign and we have a 2 yo and 7 yo daughters. My wife just received her work authorization. But we have a number of leins on our property now. We owe about $109,000 and the property was appraised 2 years ago for $140,000. It is a farm and we have cattle and it has been in our family for 80 years. Also my wife is on the deed but not on the loan.

We own 2 vehicles that are both paid for. One is 7 years old and teh other is 10 years old. I use my truck for my job and we want to keep it. There is no doubt that I owe the money and just have not been able to pay. I had to choose whether to buy food and fuel to work or pay other bills.

I want to know if I file bankruptcy if we can save our house or what should we do? We are very desperate.

Thank you.

[SinkingFast]

You could file for Ch 13. That's a reorganization BK. It would allow you to include your mortgage arrears on your home in your plan payments and you will be able to keep your home.

Monthly payments will be determined based on disposable income per month.

Also, you sound like a Family Farmer. There's special provisions in BK Law for Family Farmers and Fishermen. Might be something there to give you additional protections for you home and land, and your livestock as well.

Call a few attnys and make appts for Consults. Consults are free. Chat with several attnys to get different perspectives. Also, you'll learn new things with each visit.

Since you've received notice of Foreclosure, you may need to move quickly. I don't know if your notice was for intent to Foreclose, or if you've reached the "advertise the auction in the paper" stage or not. A lot depends on your State and your actual Mortgage contract. But you can file an emergency BK petition to get an automatic stay put in place that will stop the Foreclosure process dead in it's tracks.

Very important,.......... If you are even considering BK as a way to save your home, you NEED to get your pre-BK Certification process done ASAP!

http://www.usdoj.gov/ust/

You can find a list of approved Credit Counseling Services at the link above. You have to get your Cert from a DOJ approved agency. The Cert is good for 180 days whether you use it or not. Some agencies require you chat with them on the phone for 90 minutes. Some just have you fill out an on-line interview, you pay, and your packet is emailed to you the very next day.

[Minnymouth]

Rodeo,
You have almost waited to the point of "no return".......
Consult and attorney or two immediately........... and see what they say... especially if your trying to salvage your home/farm.....

Let us know what they tell you.....