Lending institutions initiate the foreclosure process to reclaim mortgaged property when a homeowner fails to make their payment. Foreclosure defense services can stop foreclosure — or at least limit thedamage to your credit. Strategic defaults, short-sales, a “deed in lieu”, or personal bankruptcy protection are other available legal strategies to protect homeowners’ from foreclosure penalties and consequences. Filing a bankruptcy will stop a foreclosure case or a sale and allow you to reorganize. Chapter 13 debtors can negotiate a mortgage or loan settlement with their lenders in the Loss Mitigation Mediation Program.