The U.S. Department of Justice’s Trustee Program recently announced that they will be intensifying their efforts in reviewing Chapter 13 bankruptcies and foreclosure documents. Chapter 13 bankruptcy is different from other types of bankruptcy in that it allows individuals to keep their house and extend the time limit for making mortgage payments.
While a chapter 13 bankruptcy filing is being reviewed, individuals are still responsible for making their mortgage payments. In addition, mortgage servicers are required to file a claim that shows how much they are owed by borrowers. These two requirements have resulted in several documentation errors by banks. Trustee officials will be looking to make sure lenders aren’t inflating fees and are continuing to take action on foreclosures.
To discuss filing for Chapter 13 bankruptcy with an experienced bankruptcy attorney, contact the Milwaukee Chapter 13 bankruptcy lawyers of DeLadurantey Law Office, LLC at 414-377-0518 today.