Chapter 7 bankruptcy will not prevent a foreclosure on your home. But, once you file for bankruptcy, the court will order an automatic stay, which will put a hold on the foreclosure while the bankruptcy case is pending. However, the lender may ask the judge to allow the foreclosure to proceed. Or, the lender may wait to foreclose until the bankruptcy case is over. If you want to keep your home, you need to keep making your payments before, during, and after bankruptcy. To avoid foreclosure, you must make up any already-missed payments and keep your payments current. When you sign the closing documents to borrow money to buy your home gives the lender the right to foreclose if you stop making payments on your mortgage.