As thousands of recession-fueled layoffs and job losses clamor for headline space, more homeowners faced with falling values are opting for Chapter 7 protection.

Although few would argue that workers (and their decreased spending power) benefit when hard-strapped businesses close their doors, others believe the nation will be better served by letting marginal companies jump off the Darwinian cliff. Regardless of the various opinions, it’s tough to argue with the numbers that are emerging.

Citing a new report, Associated Press economics writer Jeannine Aversa says that a “new survey by the National Association for Business Economics depicts the worst business conditions in the U.S. since the report’s inception in 1982.” In a Jan. 26 article carried by several papers (here’s one), Aversa says that 39 “percent of NABE’s forecasters predicted job reductions through attrition or ‘significant’ layoffs over the next six months, up from 32 percent in the previous survey in October. Around 45 percent in the current survey anticipated no change in hiring plans, while roughly 17 percent thought hiring would increase.”

Calling the recession a “job killer” that experts believe will continue into 2009, she writes: “The economy lost 2.6 million jobs last year, the most since 1945. The unemployment rate jumped to 7.2 percent in December, the highest in 16 years, and is expected to keep climbing.”

Companies showing up in the latest round of layoffs announced Jan. 26 ranged from presumed leaders to those widely known to be in trouble. Sprint Nextel, recognized as the nation’s third-largest wireless carrier, announced cuts of 8,000 jobs (as well as severe cutbacks for remaining workers) while construction-equipment giant Caterpillar says it’s letting go of 20,000 employees.
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Even though they realize that one of the practical aspects of filing Chapter 13 is stopping foreclosure, many homeowners try alternatives–with varying degrees of success.

One of the worst — but increasingly problematic — alternatives is depending on so-called “foreclosure rescue companies” who turn out to be swindlers.

Although such scams have been around for years, experts and authorities from New York to Hawaii are warning homeowners to exercise great caution as the numbers of U.S. foreclosures continue in record numbers.

In Texas, Attorney General Greg Abbott and state Sen. Craig Estes (R-Wichita Falls)  on Dec. 10 announced new legislation that targets  what Abbott calls “unscrupulous operators [who] are scheming to profiteer at homeowners’ expense.”

“Too many scam artists attempt to target homeowners with large fees and the false promise that they could help Texans avoid foreclosure on their homes,” said Abbott. “The legislation that Senator Estes and I encourage the Legislature to pass would give the Office of the Attorney General increased authority to crack down on these unlawful foreclosure rescue scams.”
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Facing the threat of home foreclosure can be daunting. Moving is always a lot of work, but being forced out of your home can add even greater stress. Making arrangements for a new place to live can be difficult if you are facing hard times financially.

Some homeowners who face foreclosure can save their homes by filing bankruptcy. If a homeowner feels that they can make up their back payments in a few years, then Chapter 13 bankruptcy can stop the foreclosure process and help them keep their home.

Loosing your family’s home can have long-lasting impacts on you and your loved ones. Having a stable home is key to feeling safe and secure. Losing a home to foreclosure can lead to uncertainty and doubt.

A bankruptcy attorney from BankruptcyCorner.com can explain to you how filing bankruptcy will stop your creditors from foreclosing on your home. The lawyer will show you what options you have under bankruptcy law to protect your assets and clear your unsecured debt in order to secure a future for your family.

Seeking the help of an attorney is not admitting failure. Anyone can find themselves in a bad situation financially. An experienced bankruptcy lawyer knows how to safeguard your assets and save them for your family’s future.