Posted on: 04th Dec, 2009 03:16 am
My ch 7 was discharged 2 months ago. I still wanted to pay my mortgages. My first 212,000. My second 87,000. I am current. My second stoped taking autopayment and is acting strangely by sending me statemnets. They say I am protected by Bruptcy laws. But I got the letter from the courts 2 months ago saying it was discharged. I f I stop paying second can they forclose or send collection agency after me? I live in california.
hi,
if you stop making payments towards the second mortgage, the lender can come after you. you're personally not liable for the second mortgage if it has been discharged through bankruptcy. but chapter 7 bankruptcy does not remove liens from the property and the junior lien still remains on your house. thus, if you do not make payments, the second lender can foreclose on the property to satisfy the lien.
if you stop making payments towards the second mortgage, the lender can come after you. you're personally not liable for the second mortgage if it has been discharged through bankruptcy. but chapter 7 bankruptcy does not remove liens from the property and the junior lien still remains on your house. thus, if you do not make payments, the second lender can foreclose on the property to satisfy the lien.
>>I f I stop paying second can they forclose or send collection agency after me?
Yes. And your credit will be impacted too. Now that your bankruptcy has been discharged, one of your primary efforts should be to restore/rebuild your credit, and missing the payment on a mortgage results in a significant loss of FICO points.
>>They say I am protected by Bruptcy laws
That's true when you're actually in the bankruptcy process - it's called "automatic stay". But you're no longer protected after the discharge.
Yes. And your credit will be impacted too. Now that your bankruptcy has been discharged, one of your primary efforts should be to restore/rebuild your credit, and missing the payment on a mortgage results in a significant loss of FICO points.
>>They say I am protected by Bruptcy laws
That's true when you're actually in the bankruptcy process - it's called "automatic stay". But you're no longer protected after the discharge.
