Skip to main content

My bank started foreclosure process even though I have been trying for a year to modify my home loan. What should I do?

Melbourne, FL |
Attorney answers 5

Best Answer

I would strongly suggest that you consult with a real estate attorney who is experienced in mortgage modifications and mortgage foreclosure. If your lender/servicer is one of the big ones - Bank of America, Wells Fargo, Citibank just to name a few - they are currently working under a settlement agreement with the Florida Attorney General. It sounds like the conduct you are describing is a direct violation of that agreement.

This information is being provided for informational purposes only and is not to be taken as legal advice or to establish an attorney-client relationship. For more information on the experience of our attorneys and the services of our Firm, please visit our website at


It sounds like you want to keep the home. I advise speaking with a bankruptcy attorney as they may be able to stall the foreclosure if you file for bankruptcy.

Note: The information presented at this site should not be construed to be formal legal advice nor the formation of a lawyer/client relationship.

Margery Ellen Golant

Margery Ellen Golant


"stalling" the foreclosure does not lead to a solution. Bankruptcy may be a solution, however, again it depends on the details and a thorough analysis of what tools may be useful in your case. A knowledgable attorney may be able to use Chapter 13 to accomplish a resolution / modification. However, do not neglect the foreclosure case or it will move forward without you.


Unfortunately, the situation you describe happens constantly. It is important to understand that your bank, whether or not it is the company that made you the loan in the first place, most likely no longer owns it. Most residential mortgage loans were sold right after origination, and often times the original lender stayed in place only as "servicer" of the loan. What that means is that the servicer is operating under a pre-programmed structure, where it just follows a checklist in handling your loan, and all the many others it services. So long as it does that, the final outcome, including whether your home is lost to foreclosure, and even whether the owner of the loan takes a bigger loss than was really necessary, is not anywhere on its radar screen. In this automated process loan servicers follow, the borrower is run down and run over, without even any recognition in most cases that the borrower wanted to pay and would have paid, had anyone at the loan servicer paid attention.

The bottom line is that you MUSTget a knowledgable attorney on your side to push back and to use any and all legal leverage that is applicable to your case to stop the train. There are often a number of different possibilities, however in order to understand what they are and to be properly advised so that you can elect the strategy that makes the most sense to you, and that works best for you, you need to consult an attorney who undertands both foreclosure litigation and Chapter 13 bankruptcy, to obtain specific advice regarding the defense potential of your case. Depending on all the details, it may very well be possible to put on a
viable defense to foreclosure perhaps relating to issues you are not even aware of, or it may be that Chapter 13. While people are allowed to represent themselves in court, it is a huge mistake to try. In order to do this effectively, you should obtain the services of knowledgable foreclosure litigation counsel. This is not something that even most attorneys know how to do. We have quite a few clients who are themselves attorneys, yet have come to us for help because they understand this, and realize that in order to have a chance against the "big guys" they need really qualified people to help them.

Doing this properly is very difficult and detailed work. It is a very specialized area of law which most attorneys do not fully understand, and there are few if any consumers who would be able to put together any sort of viable defense. I am puzzled at why any non‐attorney would think he or she could successfully handle a litigated matter without an attorney
highly qualified in the area of law in question. This is comparable to doing delicate surgery yourself or a loved one if you are not a surgeon.

The law is very complex, litigation rules and procedures are very complex, the strategic considerations are very complex,and the areas of foreclosure litigation is something even most attorneys know nothing about as explained above, and is constantly changing. Every case is different, what might be possible in this situation would depend on the exact details
and legal issues in your case. Only a really qualified foreclosure defense will know how to even figure out what those are. An attorney who really understands how this works needs to hear all the details.

Some people hold off contacting an attorney because they think the cannot afford to be represented, but in truth, if you are seriously interested in trying to resolve the problem without losing your home and / or without facing a huge deficiency judgment, you can't afford
not to. It is often surprisingly affordable.

If you care how this turns out, I urge you to find an experienced attorney who is knowledgable about foreclosure defense to represent you. I see pro se people in court all the time. It is sad and frustrating to me ‐ they are lost, cannot possibly know enough to be effective, and of course, they get walked all over, even when their issues are winnable

Please note that the above is not intended as legal advice, it is for educational purposes only. No attorney-client relationship is created or is intended to be created hereby. You should contact a local attorney to discuss and to obtain legal advice.


Please feel free to contact my Melbourne office for a free consultation. Please review my profile for any background information. I am happy to assist you with the foreclosure process.
Joe Colombo


This is all too often the case. If you really want to keep your home, you must keep trying to get the loan modification. I often instruct my clients to continue to ask for the loan modification multiple times. It baffles me why these lenders pull the quick trigger on trying to take the property when the loan could be modified. The good news is that our firm has successfully accomplished loan workouts before, during, and after the foreclosure litigation, and sometimes beyond!

Many times, the lender needs materials, and appears to lose the material it has previously required. It's beyond frustrating for most; but it's worth the effort.

Also remember that you can request of your foreclosure judge that you have a mediation and might get another bite at the apple. It's not something you want to do alone; however, and you must consult with a skilled attorney now.

If you're employed, you may qualify for a HAMP Modification. If not, the lender should try to perform an internal analysis. If there is no reason given as to your acceptance or rejection, then keep asking (preferably in writing) for loss mitigation services and loan modification. Keep requesting an answer. If you feel your are being treated improperly in regards to a modification, then you may want to consider checking out the website (Special Inspector General) to review the lender and their modification process.

NOT LEGAL ADVICE--FOR EDUCATIONAL PURPOSES ONLY. We don't know the facts and this is not legal advice. Seek the advice of licensed property law attorneys immediately so they can secure your rights. Hiring an attorney is a serious and important decision. Please ensure that you take the time necessary to evaluate and interview more than one attorney to determine whom to hire.