Chapter 7 will buy you some time. It is difficult to say how much; at best, until after the discharge. If you are at a point where a sales date is only 10 days away, you should retain an attorney to assist you. If you file, it is imperative that the lender (and the referee) get notice of the filing as soon as possible.
You do need to file a bankruptcy as soon as possible to stop that September 7 foreclosure. Keep in mind that some attorney's offices may not be open on Monday the 6th due to Labor Day. The Chapter 7 will stop the September foreclosure, but not a later foreclosure once the lender is granted a "Motion for Relief" from the automatic stay. This means that the lender can then re-start foreclosure, which in GA means advertising for 4 consecutive weeks and a sale on the next available "Foreclosure Tuesday" which is the first Tuesday of the month. The main question though is how fast the mortgage company will act once you file, and this is really dependent upon your mortgage company, and how they view both you and your property, as well as what they feel is in their best interest. That being said, it is impossible to say when they will act to foreclose on your home, but the Ch.7 will buy you some time and address other debt issues. I suggest you contact a bankruptcy attorney as soon as possible.
Chapter 7 will stop the foreclosure (and buy you at least a couple months time in the home, maybe far longer). To get things done you need to doa lot in a few days. My office can handle such matters. For us to handle it you would need to go to my website, www.glenashman.com, complete our worksheet, and also sign up for the mandatory online class to file a case (we have a link to the lowest cost class there).
A chapter 7 will completely restart the foreclosure process and you may also be able to reapply for HAMP.
Don't pay the 10K without seeing a lawyer first. Note that to have plenty of time to sort all this out, you need to be in a lawyers office in the next couple days.
There are certain requirements for those lenders who participate in the HAMP program. https://www.hmpadmin.com/portal/about/overview.html
When your bankruptcy case is filed, the Automatic Stay goes into place which prevents your house from being sold at foreclosure. The Stay may remain in place for the term of your case, which is usually 3-4 months. Or, the mortgage creditor can ask that the Stay be lifted while your case is pending, if you are behind on payments. The affect of lifting the Stay, either by Motion or by way of your case being closed, is that the creditor can reinitiate foreclosure proceedings. The general time-frame I suggest from the date of filing until foreclosure proceedings are reinitiated is usually 4-6 months. Of course, the mortgage creditor's actions create the timeline. I hope this information was helpful.
Van Wieren Law Firm, LLC