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Deficiency judgement

Posted on: 11th Aug, 2008 06:33 am
we filed bankruptcy 2 months ago - our house will go into foreclosure in one month. our we responsible for deficiency judgment or was the taken care in the chapter 7 bankruptcy
Welcome connie_well.

As you have filed Bankruptcy chapter7, all your unsecured debts will be released. So you need not to pay the outstanding balance of the mortgage in this case. But if the mortgage company gets a judgment against you then you are liable to pay it.
Posted on: 12th Aug, 2008 02:17 am
Hi connie_well,

Welcome to the forums.

As far as I understand, until you get a bankruptcy discharge, the lender can't foreclose as because bankruptcy puts an automatic stop to foreclosure. So, the deficiency payment doesn't come in till you get the discharge. By the way, do you know when you're getting discharged from bankruptcy?
Posted on: 12th Aug, 2008 05:44 am
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