[Hello333]

...foreclosure and you declare bankruptcy what happens? One of my 3 mortgage companies is asking me to pay them $20,000 by November. My lawyer said to declare bankruptcy which would mean I don't have to pay the $20,000 anymore. IS this true. Will i still keep my house and not pay 20 grand if i declare bankruptcy? IF i declare bankruptcy, what is the additional downside of the situation?

[Haggi]

If you declare yourself bankrupt your creditors can force the sale of your assets (the house) to pay your debts.

[Hayfin Hifer]

If your currently in foreclosure and you owe the bank or the mortgage lender your involved with an outstanding debt, that hasn't been paid. If you choose not to pay them and file bankruptcy you'll never get a loan from any reputable car company will be rejected by every mortgage company in the U.S if you ever decide to buy another house or unless u pay cash and it will stay on your record for the next 7yrs which will hinder you from getting certain loans to buy things like rental property big ticket items etc. Bankruptcy will delay they foreclosure process for a few extra months but you still will eventually get foreclosed on by fannie mae or bank of america whichever one owns the note