Legal Question in Credit and Debt Law in Minnesota

what should i do

i am currently behind on all my loan obligations and am overwelmed with how to handle this. my home mortgage is facing foreclosure. unable to handle debt because of too high mortgage payments. home has been for sale for 1 year because of relocating. no luck there. bankruptcy or forclosure or what else? because of late payments no equity loan can be obtained to get caught up.


Asked on 7/12/99, 12:35 pm

1 Answer from Attorneys
Susan Freiman The Legal Clinic

Re: what should i do

You should see a lawyer immediately. I realize you have no money for lawyers fees, that's why I suggest you go to Legal Aid. Most bar associations also have a panel of lawyers willing to work for reduced fees.

Ask the lawyer to analyze your entire situation before he or she recommends what steps to take. You should certainly consider bankruptcy, but whether a straight bankruptcy (Chapter 7) or a plan to pay off your debts over time (Chapter 13) depends on a lot of personal factors.

However, do not try to handle this without professional help, as you are liable to end up getting even more badly hurt, and it may cost you far more than what you would save in legal fees.

Good luck -

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Answered on 7/15/99, 2:00 pm


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