Foreclosure happens when you fail to make up the payments for the money you owe to a credit company. It is a legal process in which, having put up the deeds to your home or property in order to borrow money, you lose your rights to the mortgaged property because you defaulted to live up to the terms of the loan contract.
Until this happens you actually retain possession of home, and it looks as though you actually do own it; but the moment you violate the loan terms and fail to meet other obligations specified in the bond or mortgage, foreclosure is effected by your lender, which is either a bank or a mortgage firm.
In order to effect a foreclosure, the lender's Denver bankruptcy lawyer usually has to apply to a court for the authority to sell the home under the power you have consigned to them in your loan terms. They then use the money received from the sale of your home to apply to all debts on your home and the payments due to them. This may take a single day if the credit firm can pull enough strings to make it fast, but the process often takes weeks to process.
If you are going to stop this procedure, you are going to have to do it before the filing is made; and if you are unable to do that, you had better be able to pull a justifiable rabbit out of your hat before the day the ruling is made.
There are quite a few stop foreclosure options you may explore to be able to hold on to your home, and bankruptcy is one of them. Often, this alternative is saved for a last resort when all else has failed, and with good reason too. It can be made especially into a difficult process because frequently, the end product of it is that you get to walk away from the whole mess without paying what you owe to the lender.
So, yes, bankruptcy can stop foreclosure, but before you do anything, it's best to talk to a Denver bankruptcy attorney for the best way forward.
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