Durham, North Carolina (PRWEB) October 25, 2012
As foreclosures start to increase again, North Carolina Board Certified Specialist in Consumer and Business Bankruptcy Law Eileen Bornstein is trying to help homeowners find ways to save their homes through bankruptcy relief.
The Office of the Comptroller of the Currency reported in September that more mortgages were 30 to 59 days past due (up 12.1 percent from the previous quarter) and the number of new foreclosures rose to 302,636, up 5.5 percent from the previous quarter. New foreclosures were also up over the same period last year.
Bornstein, who leads the bankruptcy department at the Law Offices of James Scott Farrin, is meeting with consumers to help them understand their options by filing for bankruptcy protection.
“Most homeowners think that filing for bankruptcy means that they will lose their homes, but in many cases, filing for bankruptcy can actually help you save your home depending on your circumstances,” Bornstein said.
Homeowners who have fallen behind on their mortgages may be able to file for a Chapter 13 bankruptcy and catch up on their payments to save their house. Under a Chapter 13 plan, debts are consolidated into a monthly payment plan for a three- to five-year period.
“A portion of the ‘arrears’ (the amount individuals are behind on their mortgages) must be paid in addition to their ongoing mortgage payments, so homeowners who have fallen significantly behind on their mortgages may not be able to file for Chapter 13 to save their homes,” Bornstein said.
A Chapter 7 bankruptcy may also be able to offer homeowners some relief. Known as a “straight bankruptcy,” a Chapter 7 filing eliminates most unsecured debts such as credit card debts and medical bills for those who qualify. This can free up income for homeowners to catch up on their mortgages, if the mortgage company will work with you to do this.
For those who are current on their mortgage loans but who are struggling because of unsecured debts, a Chapter 7 can free up income to allow them to meet their mortgage loan obligations more easily. Or, for those who are only a few months behind but can catch up on their payments if they eliminate their unsecured debts, a Chapter 7 bankruptcy may be a good option.
Bornstein is currently providing free initial case evaluations for consumers to determine if bankruptcy might be able to offer debt relief.
The Law Offices of James Scott Farrin is a debt relief agency. It helps people file for bankruptcy relief under the Bankruptcy Code. Filing is subject to qualification.
About the Law Offices of James Scott Farrin
The Law Offices of James Scott Farrin is headquartered in the American Tobacco Historic District, adjacent to the Durham Bulls Athletic Park, in Durham, North Carolina, with 12 additional offices statewide in Charlotte, Fayetteville, Greensboro, Greenville, Goldsboro, Henderson, New Bern, Raleigh, Roanoke Rapids, Rocky Mount, Sanford and Wilson. The firm’s 31 attorneys focus on the following practice areas: Personal Injury, Workers’ Compensation, Social Security Disability, Bankruptcy, Eminent Domain, Intellectual Property, Civil Rights, Mass Torts and Products Liability. Three of the attorneys are North Carolina Board Certified Specialists in Workers’ Compensation Law, one is a North Carolina Board Certified Specialist in Social Security Disability Law and one is a North Carolina Board Certified Specialist in Business and Consumer Bankruptcy Law. The Law Offices of James Scott Farrin is involved in the community, including sponsorship of local philanthropic organizations.
280 S. Mangum Street, Suite 400
Durham, NC 27701