The state of Florida makes use of the judicial foreclosure process, which implies that your lender must file a lawsuit before they can foreclose your home. Not only that, but the law also requires that your lender keep you updated about the state of your account. And also suggest available loss mitigation alternatives to you so that you can get back on track with your mortgage payment. However, if all options fail, they are authorized to file a petition to foreclose your home. The foreclosure process is usually delayed because of the court schedule. You can maximize this period to contact your lender for alternative solutions to prevent foreclosure. One of the options considered by most homeowners in Florida is bankruptcy.

Filing for bankruptcy is one of the surest ways to put an end to foreclosure in Florida. If other options fail, bankruptcy won’t fail you. You might be worried about the damage filing for bankruptcy will do to your credit score. However, having your home foreclosed will do more significant damage and make it hard to secure another mortgage in the coming years. And depending on what chapter of bankruptcy you filed for, you can have some of your debts discharged. Chapter 13 bankruptcy allows you to negotiate a new repayment plan with your lender and give you relief that can last for three to five years.

Unlike other methods used to stop foreclosure, filing for bankruptcy has an immediate effect on foreclosure. An automatic stay order from the court pauses all forms of lender’s activities, which includes foreclosure. If a foreclosure sale date has been fixed, it will either be canceled or postponed after you file for bankruptcy.

Seek legal advice before deciding which option is best for you. Inform your lawyer about your situation and your desire to file for bankruptcy. Your lawyer will be you consider which of the chapter is beneficial to your situation on the long-run.