I’m three months behind on my mortgage. Is there still time to save my home?

If you are only three months behind on the mortgage, you have plenty of time and plenty of opportunity to save your home.  You can save your home through non-bankruptcy measures, provided that you can work a payment plan or a repayment plan with your mortgage company for the amount you fell behind.
If your mortgage company is not willing to work with you, then you can save your home through Chapter 13.  Chapter 13 will allow you to repay the part that you fell behind over the next 3 to 5 years by reorganizing that debt along with all of your other debt.  When a Chapter 13 bankruptcy is filed, you must continue to make your regularly scheduled mortgage payment on time every month going forward.
So more important than the three months you fell behind is are you going to be able to make current payments going forward?  If the answer to that question is no, then a Chapter 13 is not going to work for you in the long run.  You’re going to stop the foreclosure, you’re going to stop the high interest, you’re going to stop any collection activity but if you can’t make both the current mortgage payment plus the arrearage over time, you’re going to be back in the same situation where the creditor is going to ask for permission to avoid your bankruptcy and proceed against the collateral.  That motion is known as a Motion to Modify the Automatic Stay which basically removes the bankruptcy protection and allows the finance company to proceed with collection efforts including foreclosure.
In Illinois, the foreclosure process is very long; approximately 7 months to 11 months start to finish.  So if you are only three months behind on your mortgage, you have time to work out an agreement with your mortgage company or as a last resort, file a Chapter 13 and dictate to the mortgage company how they are going to be repaid.  So Chapter 13 is a way to save your home if you have fallen three months behind and you don’t have the ability to catch up on your own and you need a time period in which to catch up.  Contact your local bankruptcy attorney to find out a Chapter 13 will work for you and your family.