Severna Park, MD Foreclosure Defense Lawyer

Skilled Foreclosure Defense Attorney for Clients in Severna Park, Maryland

It can be difficult to stay afloat financially when you have multiple expenses or sources of debt to balance at once. In especially rough times, you could end up falling significantly behind on your mortgage, potentially triggering foreclosure proceedings. When your bank or lender threatens to seize your home, reach out to a Severna Park foreclosure defense attorney for legal help.

At The Law Office of Donald L. Bell, we have helped many clients in different financial circumstances, as you can see in our testimonials. As a skilled bankruptcy attorney, Donald Bell can explore debt relief solutions and help you work toward financial stability.

What Type of Bankruptcy Is Best Suited for Severna Park Homeowners?

Homeowners facing foreclosure often hear that bankruptcy can help, but the type of bankruptcy you file matters as much as the decision to file at all. The two most commonly considered options are Chapter 7 and Chapter 13, and they serve very different purposes for someone who wants to keep their home.

Chapter 7 eliminates most unsecured debt quickly, often within a few months. For someone whose primary concern is credit card debt or medical bills rather than saving a home, it can provide meaningful relief. However, Chapter 7 does not give you a mechanism to catch up on missed mortgage payments. The automatic stay it triggers will pause foreclosure temporarily, but once the case closes, the lender can resume proceedings. If keeping your home is the goal, Chapter 7 alone is generally not the right fit.

Chapter 13 is structured specifically for homeowners in this situation. It allows you to repay mortgage arrears over three to five years through a court-approved plan while the automatic stay keeps foreclosure on hold. You must have regular income to qualify, and your total debt must fall within certain limits, but for homeowners who meet those thresholds, Chapter 13 offers a legally sound path to catching up without losing the property.

Addressing Debts and Mortgage Arrears Through Chapter 13

One of the practical advantages of Chapter 13 is that it consolidates multiple financial obligations into a single monthly payment. Rather than managing your mortgage arrears, ongoing mortgage payment, and unsecured debts separately, the repayment plan accounts for all of them in a structured way. You make one payment to a bankruptcy trustee each month, and the trustee distributes funds to creditors according to the confirmed plan.

Mortgage arrears are treated as a priority within the plan, meaning they are addressed before many other obligations. Your lender cannot demand the full past-due amount upfront as long as the plan is in place and you remain current on your ongoing payments. Unsecured debts such as credit cards and medical bills are typically paid at a reduced amount, and any eligible balance remaining at the end of the repayment period may be discharged entirely.

Completing the plan takes discipline and consistency. Missing payments or falling behind on your current mortgage obligations during the case can result in dismissal, which would allow foreclosure to resume. Starting with a realistic plan and sticking to it is essential.

Mortgage Modifications and Lien Stripping in Chapter 13 Bankruptcy

Chapter 13 can work alongside other tools that help homeowners reduce their overall mortgage burden. If you are pursuing a loan modification with your lender, that process does not have to stop when you file for bankruptcy. Some homeowners negotiate modifications during an active Chapter 13 case, and an approved modification can be incorporated into the repayment plan.

Lien stripping is a separate but related option available in certain Chapter 13 cases. If your home's current market value is less than the balance owed on your first mortgage, any junior liens, such as a second mortgage or home equity loan, may be treated as entirely unsecured debt.

Contact a Severna Park Foreclosure Defense Attorney Today

If you are facing foreclosure and want to understand whether bankruptcy could help, time is of the essence. Call 301-614-0535 or contact our Severna Park, Maryland foreclosure defense lawyer at The Law Office of Donald L. Bell to schedule a consultation. We offer free consults in consumer cases.