Restraining Orders

You may have legal grounds to prevent a foreclosure. Let’s first start out this section with a word of warning. If you have done much research on the internet about foreclosures and stopping a foreclosure, you have probably seen books or articles with titles along the likes of “Stop Your Foreclosure by Following These Simple Steps,” or “I Guarantee I’ll Help You Stop Your Foreclosure”. There are very few “guaranteed” ways of stopping a foreclosure. The only ways that I am aware of to stop a foreclosure are:

1) The lender voluntarily agreeing to postpone a foreclosure (not guaranteed);
2) Bankruptcy; and
3) A Court order forcing the lender not to foreclose.

It is of course possible that there are other ways to stop a foreclosure. Because 2 of the 3 options listed above will probably require an attorney’s assistance anyway; maybe think about speaking to an attorney before buying into any “guaranteed system” that you find on the internet.

This is especially true if someone is asking you to sign a deed transferring your property to someone else with the promise that you can buy the house back later. These tend to be scams. In that case, not only talk to a lawyer, but also contact the FTC or your state’s Attorney General’s office.

Next, the advice regarding the different articles included below will vary a little depending on whether you reside in a judicial or non-judicial foreclosure state. The primary difference is that in a judicial foreclosure state, you should have the opportunity to raise any violation in defense of the lender’s application to foreclose (or in a counterclaim), whereas in a non-judicial foreclosure state, a lawsuit might have to be filed and a Temporary Restraining Order or Temporary Injunction obtained.

Lastly, the violations discussed in each article may or may not be violations depending on which state you live in. Some of the statutes are federal law and should be applicable in every state. The statutes that are state specific should carry general guidelines that will be applicable in most states and should also be general enough that you will be armed with information that you can use to carry an intelligent and informed conversation with an attorney licensed to practice in your state. The following information is not detailed and precise enough to teach you how to walk into court and stop a foreclosure guaranteed. It is a starting place to allow you to determine whether you think the lender has done something improperly in your particular situation, which will give you a foothold on conducting further research, or finding the right attorney to assist you further.

Judicial v. Non-Judicial Foreclosure

The following information can also be found on the main page of the My Foreclosure Options site, but the information is so vital to determining what options are available to prevent a foreclosure that it is being posted here again.  What type of foreclosure a borrower is facing is the first thing that must be […]

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FHA Loss Mitigation Requirement

If your loan is an FHA loan which is backed by HUD (the United States Department of Housing and Urban Development), then your lender is subject to many more restrictions than they would be under a conventional loan.  This type of loan contains mortgage insurance that is backed by the Federal Housing Administration.  In particular, […]

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Errors by Mortgage Servicer Prior to Default

It is possible that a mortgage servicer may mishandle payments or other issues relating to the loan and that a loan may be put into default even though the homeowner has not missed any payments.  A mortgage servicer is the company that handles and processes the mortgage payments and deals with the day-to-day issues regarding […]

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Lender Fraud or Misrepresentation

This article will use the terms “fraud” and “misrepresentation” generally, but please realize that these terms may have vastly different legal meanings in different states.  For instance, many states have statutes which regulate debt collection activities which prohibit certain types of fraud and misrepresentations by creditors and by debt collectors which may be applicable to […]

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Right to Cure

As stated on the “Reinstatement of the Note” page, it is possible that your Deed of Trust (or other Security Instrument) contains a provision regarding your rights to reinstatement of the note.  If you have the money to reinstate the loan and the mortgage company is refusing to accept it, or if you have sent […]

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Procedural Violations

Every state will have a certain law or statute which details the procedure that a mortgage company must follow in order to foreclose on a property (usually it will be found in a state’s “Property Code”).  Not correctly following the proper procedures should give ground to prevent a foreclosure.  Some of the most common procedural […]

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