If you fail to make mortgage payments on time, it’s possible that you will lose your Illinois home. However, there are several strategies that may prevent this from happening. At a minimum, fighting a foreclosure may provide time to negotiate a new payment plan or to otherwise find a solution that has fewer negative consequences.
Was foreclosure paperwork filed properly?
If foreclosure documents are missing or not filled out properly, a judge may dismiss the case against you. The same may be true if you weren’t served with notices prior to the initiating of the foreclosure process. It’s also worth noting that a foreclosure may be delayed if the wrong entity is taking legal action in your matter. For example, if the company that is suing you doesn’t have standing to do so, the case may be thrown out.
Filing for bankruptcy may delay a foreclosure
Filing for Chapter 7 or Chapter 13 bankruptcy will likely postpone a foreclosure until the case is discharged. In a Chapter 13 proceeding, it may be up to five years before this happens, and you may be given an opportunity to get current on your loan during the repayment period.
Do you actually owe anybody money?
A foreclosure may be invalid if you don’t actually owe the plaintiff any money. A lender may come after you because your name is similar to the one on the mortgage or because of some other clerical error. Assuming that you can prove an error occurred, you can’t be forced to pay a debt that doesn’t belong to you.
Losing your home may have both financial and practical implications for yourself and anyone who depends on you. Therefore, you should take whatever steps might be available to delay or prevent a foreclosure from happening. Depending on the circumstances, a lender may allow you to use a short sale or renegotiate the terms of your mortgage.