Can Chapter 13 stop a foreclosure?

Filing generally triggers an automatic stay under 11 U.S.C. § 362, which commonly halts collection activity including foreclosure steps. It is not permanent. A secured creditor may request relief from the stay, and § 362(e) provides that a stay against estate property terminates 30 days after such a request unless the court, after notice and a hearing, orders it continued. Timing relative to a scheduled sale matters enormously.

When do I have to start making plan payments?

Unless the court orders otherwise, payments start not later than 30 days after the plan is filed or the order for relief, whichever is earlier (11 U.S.C. § 1326(a)(1)). That is before confirmation, not after. The trustee holds pre-confirmation payments; if the plan is confirmed they are distributed under the plan, and if it is not confirmed, amounts not yet paid to creditors are returned to you less any allowed administrative claim.

Do I keep paying the mortgage servicer directly during the case?

That depends on your district and your plan. Some districts require conduit payments through the Chapter 13 trustee — E.D.N.C. LBR 3070-2 requires debtors to remit all mortgage payments to the trustee for disbursement, and W.D. Mo. LBR 3094-1 requires trustee payment where the debtor was delinquent on the petition date. Other districts permit direct payment. Check your court's local rules before assuming.

How do I know at the end that the arrears were really paid off?

Through the final-cure process under Fed. R. Bankr. P. 3002.1. The trustee or debtor can seek a court determination of the mortgage claim's status; in the Southern District of Indiana this uses Official Form B410C13-M2 with a 28-day response deadline. Some districts go further — under D.N.M. LBR 3015-4, prepetition arrears paid under a confirmed plan are deemed cured on discharge unless the mortgagee timely files a contrary statement.

What if my mortgage payment changes while the case is running?

The claim holder must file a notice of any change in the payment amount, including changes from an interest-rate or escrow adjustment, served on you, your attorney, and the trustee (Fed. R. Bankr. P. 3002.1(b)(1)). Except for certain home-equity line notices, it must be filed and served at least 21 days before the new payment is due. An untimely notice has consequences under the rule for when the new amount takes effect.

What does filing a Chapter 13 case cost?

The Chapter 13 filing fee is $235 (28 U.S.C. § 1930(a)(1)(B)), plus a $78 administrative fee (Bankruptcy Court Miscellaneous Fee Schedule, Item 8). The statute permits installment payment of the filing fee for an individual commencing a voluntary or joint case; the statutory Chapter 7 fee waiver does not apply to Chapter 13. Attorney fees are separate and vary by district and case complexity.

Does Chapter 13 protect a co-signer on my debts?

For consumer debts, there is a codebtor stay. Under 11 U.S.C. § 1301, after the order for relief a creditor generally may not act to collect a consumer debt of the debtor from an individual who is liable on that debt with the debtor. There are exceptions — including where the individual became liable in the ordinary course of business — and a creditor can seek relief from that stay on specified grounds.

Homes & mortgages

Curing Mortgage Arrears in Chapter 13

Chapter 13 lets a homeowner pay off past-due mortgage payments over the life of the plan while keeping up the regular monthly payment. Federal law permits a plan to cure a default within a reasonable time and maintain payments on a long-term debt (11 U.S.C. § 1322(b)(5)). The arrears are paid through the trustee; the plan must be confirmed by the court.

Key points

A Chapter 13 plan may provide for curing any default and maintaining payments on a debt whose last payment comes due after the plan ends (11 U.S.C. § 1322(b)(5)).
The cure has to happen "within a reasonable time" — the statute sets no fixed number of months, and the court decides whether the proposed period qualifies.
A plan generally cannot rewrite the terms of a loan secured only by your principal residence (11 U.S.C. § 1322(b)(2)), which is why arrears are cured rather than reduced.
Plan payments generally start within 30 days of filing the plan or the order for relief, whichever is earlier (11 U.S.C. § 1326(a)(1)).
Fed. R. Bankr. P. 3002.1 governs mortgage payment-change notices and the final-cure process that determines, on the record, whether the arrears were actually paid off.

If you are months behind on your mortgage and the letters have started arriving, the question is usually the same: is there any way to catch up without finding the whole past-due balance at once. Chapter 13 exists in large part for that situation. This page explains what the law actually permits, what the plan has to do, and where the process commonly goes wrong.

How does curing mortgage arrears in Chapter 13 actually work?

Two things happen at the same time, and both are required. You resume the regular monthly mortgage payment going forward, and you pay the past-due amount — the arrears — in installments through your Chapter 13 plan. Federal law describes this directly: a plan may "provide for the curing of any default within a reasonable time and maintenance of payments while the case is pending" on a claim whose last payment falls due after the final plan payment (11 U.S.C. § 1322(b)(5)). A home loan almost always fits that description, because a 30-year mortgage outlasts any Chapter 13 plan. Separately, § 1322(b)(3) allows a plan to "provide for the curing or waiving of any default" generally. The arrears figure itself comes from the mortgage holder's proof of claim, not from your estimate. In many districts the trustee disburses both the arrears and the ongoing monthly payment, so the money moves through one channel and there is a record of every dollar.

Arrears: paid in installments across the plan, through the trustee.
Ongoing payment: resumed and maintained while the case is pending.
The claim controls the amount — you can object to it, but you cannot ignore it.

How long do you get to pay back mortgage arrears?

The statute does not name a number. It says the cure must happen "within a reasonable time" (11 U.S.C. § 1322(b)(5)), and what counts as reasonable is decided in your case, on your plan, by the court. In practice the outer boundary is the length of the plan itself, because a plan that has ended can no longer be curing anything. The related provision at § 1322(a)(4) refers to a five-year period for certain priority claims, and § 1325(b) governs the applicable commitment period more broadly — both are worth asking a lawyer about, because they shape how much room you have. What you should take from this is practical rather than numerical: the larger the arrears, the larger the monthly plan payment has to be to retire them in time. If the arrears cannot be cured within the period the court will accept, the plan does not work, and that is a math problem to identify before filing rather than after.

"Reasonable time" is a judicial determination, not a fixed statutory period.
Larger arrears mean a larger plan payment, not automatically a longer plan.
A plan the court cannot confirm is not a delay strategy — it is a dismissal risk.

What changes the answer for your situation?

Several facts move this materially. First, whether the loan is secured only by your principal residence: § 1322(b)(2) lets a plan modify the rights of secured claim holders generally, but carves out "a claim secured only by a security interest in real property that is the debtor's principal residence." That anti-modification rule is why the answer is cure the default rather than reduce the balance. Second, whether a foreclosure sale has already occurred — timing relative to the sale is decisive and is exactly the fact to bring to a lawyer immediately. Third, your income: the plan must be one you "will be able to make all payments under" (11 U.S.C. § 1325(a)(6)), so the arrears payment has to fit a real budget alongside the ongoing mortgage. Fourth, whether the property is essential to you at all — surrender is a treatment the Code contemplates (§ 1325(a)(5)(C)), and it is sometimes the honest answer.

Facts that change how a Chapter 13 mortgage cure works
Fact	Why it matters	Where it comes from
Loan secured only by your principal residence	The plan generally cannot modify the loan's terms; it cures the default instead	11 U.S.C. § 1322(b)(2)
Last payment due after the plan ends	Enables the cure-and-maintain structure	11 U.S.C. § 1322(b)(5)
Whether you can afford plan payments plus the mortgage	Confirmation requires the court to find you can make all payments	11 U.S.C. § 1325(a)(6)
Prior filings affecting the same property	Can affect stay relief where multiple filings are involved	11 U.S.C. § 362(d)(4)
Decision to keep or surrender	Surrender to the claim holder is an available plan treatment	11 U.S.C. § 1325(a)(5)(C)

What does federal law say about stopping a foreclosure?

Filing a bankruptcy petition generally triggers an automatic stay, which commonly halts collection activity including foreclosure steps, and § 362 is where its scope and its limits both live. The stay is not permanent and it is not unconditional. A creditor holding a claim secured by real property can ask the court for relief from it, and § 362(d) sets out the grounds — including, at § 362(d)(4), a finding that the filing "was part of a scheme to delay, hinder, or defraud creditors" involving either an unauthorized transfer of an interest in the property or "multiple bankruptcy filings affecting such real property." An order entered on that basis can be recorded and made binding in later cases affecting the same property for up to two years. Under § 362(e), a stay against property of the estate terminates 30 days after a relief request unless the court orders it continued after notice and a hearing. In short: filing buys time and a process, not an outcome.

The stay arises on filing; it does not require a separate motion by you.
A secured creditor can move for relief, and the court decides on the record.
Repeat filings affecting the same property receive closer scrutiny under § 362(d)(4).

Where do state and local court rules differ?

The cure right is federal, but the mechanics vary sharply by district, and those local mechanics decide how your money actually moves. Some districts require conduit payments — the ongoing mortgage payment goes through the trustee rather than direct to the servicer. The Eastern District of North Carolina defines a "Conduit Payment" and requires debtors to "remit all mortgage payments owed by them to the chapter 13 trustee for disbursement to the real property creditor" (E.D.N.C. LBR 3070-2). The Western District of Missouri requires post-petition payments through the trustee where the debtor was delinquent on the petition date (W.D. Mo. LBR 3094-1). Effects of confirmation also differ: in New Mexico, prepetition arrears provided for in the plan are "deemed current" on confirmation, precluding late fees and default-related charges (D.N.M. LBR 3015-4). Your district's rules are not optional detail. Find your court before you assume any of this.

Conduit districts route the ongoing payment through the trustee.
Some districts deem the arrears current at confirmation and bar default fees.
Local plan forms and deadlines differ; the district's own rules control.

What does this look like in practice, month to month?

The case starts, and payments start quickly: unless the court orders otherwise, the debtor "shall commence making payments not later than 30 days after the date of the filing of the plan or the order for relief, whichever is earlier" (11 U.S.C. § 1326(a)(1)). Payments made before confirmation are held by the trustee; if the plan is confirmed the trustee distributes them, and if it is not confirmed the trustee returns what has not already gone to creditors, after deducting any allowed administrative claim (§ 1326(a)(2)). Then the plan runs. Along the way, the mortgage holder must file notice of any change in the payment amount — including one from an interest-rate or escrow adjustment — served on you, your attorney, and the trustee, generally at least 21 days before the new payment is due (Fed. R. Bankr. P. 3002.1(b)(1)). At the end, a final-cure process determines on the record whether the arrears were actually paid.

Payments begin within 30 days — before confirmation, not after.
Pre-confirmation payments are held, then distributed or returned.
Payment-change notices arrive during the case and change your required amount.

What documents and information are involved?

The mortgage holder files a proof of claim stating the arrears, and for a claim secured by a principal residence, districts direct that Official Form 410A, the "Mortgage Proof of Claim Attachment," be attached (Bankr. M.D. Fla. Procedure Manual — 3002.1 Motions and Chart). During the case, notices flow under Fed. R. Bankr. P. 3002.1: payment-change notices, and notices of post-petition fees, expenses, and charges. At the end, the trustee or debtor can seek a determination of final cure. In the Southern District of Indiana, a Motion to Determine Final Cure and Payment of Mortgage Claim uses Official Form B410C13-M2, sets a 28-day response deadline, and the holder's response uses Form B410C13-M2R (Bankr. S.D. Ind. official pages). Some districts have their own streamlined form — the Western District of North Carolina's Local Form 18 lets a claim holder agree without triggering a hearing (W.D.N.C. LBR 3002.1-1). Practically, gather your note, statements, arrears letters, and proof of income.

Note, deed of trust or mortgage, and recent statements
Any default, acceleration, or foreclosure correspondence and dates
Proof of income and a realistic monthly budget
Every notice you receive from the servicer or the trustee during the case

What should you ask a lawyer?

Bring the dates and the documents, and ask questions that force specifics rather than reassurance. Where a foreclosure sale is scheduled or has occurred, that timing is the first thing to raise, because it can determine whether the cure route is available at all. Ask about the arrears number itself — servicer figures include fees and advances that are sometimes challengeable, and the Code preserves the right to object to a claim. Ask what your district requires, because conduit rules, local plan forms, and the effect of confirmation on default fees vary by court. And ask the uncomfortable arithmetic question directly: given this income and these arrears, what does the monthly plan payment have to be, and is that a number this household can pay for the life of the plan. A plan that fails halfway is worse than a plan never filed.

Is the cure route still available given my foreclosure timeline?
Is the arrears amount in the claim correct, and is any part of it objectionable?
Does my district require conduit payments through the trustee?
What monthly payment cures these arrears within a time the court will accept?
What happens to my case, and my house, if I miss plan payments?

Frequently asked questions

Can Chapter 13 stop a foreclosure?: Filing generally triggers an automatic stay under 11 U.S.C. § 362, which commonly halts collection activity including foreclosure steps. It is not permanent. A secured creditor may request relief from the stay, and § 362(e) provides that a stay against estate property terminates 30 days after such a request unless the court, after notice and a hearing, orders it continued. Timing relative to a scheduled sale matters enormously.
Can a Chapter 13 plan lower my mortgage balance or interest rate?: Generally not for a loan secured only by your principal residence. Section 1322(b)(2) permits a plan to modify the rights of secured claim holders but expressly excludes "a claim secured only by a security interest in real property that is the debtor's principal residence." That is why the Chapter 13 remedy here is curing the default and maintaining payments under § 1322(b)(5) rather than rewriting the loan.
When do I have to start making plan payments?: Unless the court orders otherwise, payments start not later than 30 days after the plan is filed or the order for relief, whichever is earlier (11 U.S.C. § 1326(a)(1)). That is before confirmation, not after. The trustee holds pre-confirmation payments; if the plan is confirmed they are distributed under the plan, and if it is not confirmed, amounts not yet paid to creditors are returned to you less any allowed administrative claim.
Do I keep paying the mortgage servicer directly during the case?: That depends on your district and your plan. Some districts require conduit payments through the Chapter 13 trustee — E.D.N.C. LBR 3070-2 requires debtors to remit all mortgage payments to the trustee for disbursement, and W.D. Mo. LBR 3094-1 requires trustee payment where the debtor was delinquent on the petition date. Other districts permit direct payment. Check your court's local rules before assuming.
How do I know at the end that the arrears were really paid off?: Through the final-cure process under Fed. R. Bankr. P. 3002.1. The trustee or debtor can seek a court determination of the mortgage claim's status; in the Southern District of Indiana this uses Official Form B410C13-M2 with a 28-day response deadline. Some districts go further — under D.N.M. LBR 3015-4, prepetition arrears paid under a confirmed plan are deemed cured on discharge unless the mortgagee timely files a contrary statement.
What if my mortgage payment changes while the case is running?: The claim holder must file a notice of any change in the payment amount, including changes from an interest-rate or escrow adjustment, served on you, your attorney, and the trustee (Fed. R. Bankr. P. 3002.1(b)(1)). Except for certain home-equity line notices, it must be filed and served at least 21 days before the new payment is due. An untimely notice has consequences under the rule for when the new amount takes effect.
What does filing a Chapter 13 case cost?: The Chapter 13 filing fee is $235 (28 U.S.C. § 1930(a)(1)(B)), plus a $78 administrative fee (Bankruptcy Court Miscellaneous Fee Schedule, Item 8). The statute permits installment payment of the filing fee for an individual commencing a voluntary or joint case; the statutory Chapter 7 fee waiver does not apply to Chapter 13. Attorney fees are separate and vary by district and case complexity.
Does Chapter 13 protect a co-signer on my debts?: For consumer debts, there is a codebtor stay. Under 11 U.S.C. § 1301, after the order for relief a creditor generally may not act to collect a consumer debt of the debtor from an individual who is liable on that debt with the debtor. There are exceptions — including where the individual became liable in the ordinary course of business — and a creditor can seek relief from that stay on specified grounds.

Sources

11 U.S.C. § 1322 — Contents of plan · official source
11 U.S.C. § 362 — Automatic stay · official source
11 U.S.C. § 1325 — Confirmation of plan · official source
11 U.S.C. § 1326 — Payments · official source
11 U.S.C. § 1301 — Stay of action against codebtor · official source
Fed. R. Bankr. P. 3002.1 — Chapter 13—Claim Secured by a Security Interest in the Debtor's Principal Residence · official source
D.N.M. LBR 3015-4 — Arrearages in Chapter 13 Cases
E.D.N.C. LBR 3070-2 — Chapter 13 – Residential Mortgage Payments
W.D. Mo. LBR 3094-1 — Payments on Real Property
W.D.N.C. LBR 3002.1-1 — Fed. R. Bankr. P. 3002.1(g) Responses
Bankr. S.D. Ind. official page — Motion to Determine Final Cure and Payment of Mortgage Claim
Bankr. S.D. Ind. official page — Response to Motion to Determine Final Cure and Payment of Mortgage Claim
Bankr. M.D. Fla. Procedure Manual — 3002.1 - Motions and Chart
28 U.S.C. § 1930(a)(1)(B)
Bankruptcy Court Miscellaneous Fee Schedule, Item 8

By Antonio G. Jimenez, Esq. · Florida Bar No. 21022

Last reviewed July 26, 2026 · Sources verified July 26, 2026 · How we verify

Every figure on this page is drawn from a primary legal source and checked against our canonical legal database before publication. Bankruptcy.law is not a law firm and does not provide legal advice.

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