Last week, we talked about how to avoid a default judgment in a case where a creditor is suing you. One of the biggest takeaways of that post is that time is of the essence in debt matters, and perhaps nowhere is that more true than when facing home foreclosure.

Yes, it is true that most banks will take six months or more to move completely through the home foreclosure process. But during all that time, the amount you owe on the mortgage is climbing. Every month, another payment stacks up, and while you might think you’ll catch up before foreclosure happens, that is often not the case. In fact, according to Statistic Brain, in 2013 over 1.3 million homes went through foreclosure. Of those, over 463,000 were repossessed.

For families who cannot afford overall debts, making a choice to pay credit card or other debt instead of a mortgage can quickly become a situation that involves losing a home. Instead, families might want to consider a debt restructuring through a Chapter 13 filing. Chapter 13 bankruptcy can help individuals discharge unsecured debt while maintaining payments on their home. This means you reduce the overall amount of debt you owe, but you still keep your home.

Chapter 13 bankruptcy is a possible option for homeowners or those who want to keep items such as vehicles for use. Individuals who have second mortgages on properties might also be able to find some relief through the Chapter 13 process.

Any debt restructuring process can be complicated, though, which is why we work with our clients to provide education and experienced assistance with such matters. Our firm works to help you seek the best possible outcome so you can move into a positive future.