More and more Oregon borrowers will soon need to seek the protection of the Bankruptcy Court in order to stop foreclosure actions.
While new foreclosure actions declined by 14 percent nationally over the month of April, foreclosures more than doubled in Oregon. Much of this surge in newly issued notices of default is attributable to one loan servicer, Bank of America Corp.’s foreclosure arm, ReconTrust Co.
While Bank of America may seek to foreclose on more Oregon homes, most of these new foreclosures can be stopped in their tracks by a Chapter 13 Bankruptcy filing which will enable the borrower to catch up on the arrears, interest free over the course of a three to five year period.
