By filing Chapter 13 bankruptcy, you can stop a foreclosure if the bankruptcy is filed before the foreclosure date. Your Chapter 13 repayment plan must provide for paying the mortgage holder all arrears in the plan. The earlier that you file a Chapter 13 once you fall behind on the mortgage, the less money you will have to pay to the mortgage holder in arrears, so don’t wait to contact an attorney if you fall behind on mortgage payments.
You must resume paying the mortgage immediately after the case is filed. It is important not to miss mortgage payments after your case is filed. If you miss payments after the case is filed, the lender will notify the court that you have not been current on post petition payments.
Chapter 13 is particularly useful if you had a temporary setback that made you fall behind in mortgage payments, but you are currently able to make the mortgage payments again. Additionally, it is possible to pursue a modification pending your chapter 13 bankruptcy.