Adjustable Rate Mortgages

Problems Arising from Adjustable Rate Mortgages

Brent W. Davis - Experienced Bankruptcy Lawyer in Birmingham

While adjustable rate mortgages (ARM's) seem like a good option for homeowners, they can turn into a nightmare of increased payments and excessive interest rates. At Brent W. Davis, L.L.C. in Birmingham, Alabama, we help clients when their house payments have gotten beyond their control.

At Brent W. Davis, L.L.C., we see clients who purchased their house with an adjustable rate mortgage. Usually, the initial payments involved pure interest or low interest. After a certain period of time, an $800 mortgage may skyrocket to a $1,200 mortgage. That initial house payment was more of a teaser to get the individual to sign up for the loan. Once in their house, they find that they can no longer afford to stay in the house.

Avoid Foreclosure

Losing a house through foreclosure can represent a failure and an embarrassment. That embarrassment can spread to your kids if your foreclosure becomes public knowledge. The last thing you want is for your foreclosure to make the legal notices of your local newspapers. We will help you avoid the embarrassing prospect of foreclosure by filing for bankruptcy prior to the sale of your house. A Chapter 7 or Chapter 13 bankruptcy will help get you out from under that adjustable rate mortgage so you can stay in your house and keep a roof over your children's heads.

For more information or to schedule an appointment with an experienced attorney regarding an adjustable rate mortgage problem, please contact us.

We are a debt relief agency. We help people file for relief under the Bankruptcy Code.