If you’ve missed more than three payments, the lender can issue a Notice of Default. Once a lender issues a notice of default under California state law, you have the right to cure in a lump sum, so you can reinstate the loan by paying the arrears in a lump sum. A lot of people don’t have the means to do that. The lender has to wait 90 days and they can then issue what’s called a Notice of Trustee’s Fail assigning a specific date that the property will be sold on. As long as you file the bankruptcy no later than the day before the foreclosure’s sale, the Chapter 13 will stop the foreclosure’s sale.