We've been holding off filing Chapter 7 bankruptcy in order to maximize the amount of time we can stay in our house for free. We stopped paying in May, and I received a foreclosure summons from our mortgage company last week. Is now the time to file, or should I wait? I am confused about what the next step is. We don't want to keep the house, just stay in it for as long as possible.

Thanks!

Now would be a good time to start talking to a BK attorney, if you haven't already. In some states you can file BK and stop a foreclosure right up until the day before the property auction, so that would give you a few extra months. Your attorney should know what the law is in your state and help point you in the right direction.

We've already paid for our BK attorney - we're just holding off for as long as we can before filing. We're in NY.

Did you receive a foreclosure summons from your mortgage company or from the courts? New York has both non judicial and judicial foreclosures.

If your mortgage or deed of trust contains the "power of sale clause" then they can do the non judicial foreclosure.

Does your mortgage/deed of trust contain the "power of sale clause"?

I'm looking here for info.

http://www.foreclosurelaw.org/New_York_Foreclosure_Law.htm

I'm not sure what is on the deed. The summons I received was a court summons that said I had 20 days to respond.

So what EXACTLY did the summons contain?

Edited to add:

You need to be really really really really (not good looking lol) S.P.E.C.I.F.I.C. I hope I spelled that correctly......lol

What does your attorney say about when to file?

What's going on with you?

Look at these websites, if you haven't done so already.

http://livinglies.wordpress.com/

www.msfraud.org

Melanie