Small Business Newsletter
Sign up for our free email newsletter
Question
house back to bank deed in lieu. not cover equity loan. can we be sued for 2nd?
Lost business, house. Husband on ss disablity. I am not now working. Used saving to buy small house. own outright. Can bank get judgement to make us sell small house to settle unpaid equity loan on former home? We live in missouri. Tried to work with bank but won't accept anything we can afford to pay.
6 months ago - 3 answers
Best Answer
Chosen by Asker
You could afford cash for one house, but not to repay the money you borrowed? Let me guess, you borrowed on your equity and bought a house with the loan? If you have assets you can afford to repay the money. The fact that you choose not to work while trying to screw someone is disturbing. If you own property you can "afford to pay" and the bank and their investors do not need to bend over and take it in the ___ from you.
by Landlord
6 months ago
Asker's Rating: 
Other Answers
If you deeded the foreclosed house to the bank, you should have gotten an agreement not to chase you for the balance on the mortgage. If you had a home equity loan with a different bank, they can put a lien on your small house or any other asset. You could declare bankruptcy and save your small home and personal assets.
by Mark C- 6 months ago
Yes, they certainly can sue for collection of that second mortgage. Given that you own property free and clear, they may well come after you, since you have assets which they can attach to effect payment of what you owe. Have you considered investigating a possible mortgage on your free and clear property, which could be used to pay off the HELOC? Or perhaps working with the holder of the second in such an arrangement ? The reality here is that they're not going to let you off the hook if you have assets which they can attach. I advise working with them in this regard.
by acermill- 6 months ago