Bankruptcy Court More Effective Than Loan Modification Efforts

From Start Fresh Today.

Homeowners are finding that obtaining a loan modification even with an attorney’s assistance is costly, lengthy and only 50% successful. Filing for bankruptcy has become a viable option for consumers earning an income but facing foreclosure.

Helping a client file for Chapter 13 bankruptcy and putting together a plan allowing the homeowner to catch up on mortgage arrears beats the loan modification process which “has no teeth.”

The Pittsburgh Post-Gazette looks into this rising trend. Read the entire article here.

If you are interested in this subject, you also need to check out Margery Golant’s post about combining HAMP and Chapter 13.