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How does bankcrupcy affect rest of the people on deed

Posted on: 21st Jan, 2009 04:16 pm
HI,
My mother invested 74,000.00 in property with her granddaughter's husband “Victor” for resale 4 year ago in Fl. The property mortgage is on Victor's brother as he had the best credid.The deed has all three names on it .After remodeling Victor decided to move in as they were expecting a child and promised to repay the money back to my mom. He attempted few times by writing a bad check then writing a notarized note. Meanwhile he opened line of credit and took out $50,000.00 Now my mom needs money and he practically saying the investment went bad and he will fallow bankcrupsy. For all this time he was living there and paying mortgage. How the bankruptcy will affect his brother's credit and who should my mom approach?

Thank you very much
Maria
Hi lanaburress,

If the mortgage is in the name of Victor's brother then filing a bankruptcy will affect his brother's credit. If the grand-daughter's husband, Victor, feels that the investment has gone bad and that he cannot pay the mortgage, he should contact the lender and try to check what other steps he can take.

May be he can go for a short sale or a deed in lieu foreclosure wherein the property will be sold off by the lender to recover the debts. The deficient amount resulting from the sale of the property will be forgiven in case of a deed in lieu whereas in short sale, he will have to pay the deficient amount.

There are various ways to avoid bankruptcy and you can check them out in the given link:
http://www.mortgagefit.com/bankruptcy/avoid-bankruptcy.html

Thanks
Posted on: 21st Jan, 2009 08:25 pm
i'm bankcrupt under ambank,bought a vehicle and it had been recovered.
wanted to start paying the bank byt due to very tight financial,i can't able to pay,but i got a job and want to start paying.seeking for advise
Posted on: 24th Feb, 2009 10:43 pm
Hi teirrence,

Have you already declared bankruptcy? If not, then you can contact your lender and inform him about your new job and your willingness to pay the debts. The lender may then tell you what you need to do in this regard.

Thanks
Posted on: 25th Feb, 2009 11:11 pm
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