Posted on: 17th Nov, 2008 04:13 pm
Hi,
I have question on foreclosure. What are the effects of foreclosure on credit score? If lender wants to back on us can he do that? Can he come after my and my husband bank accounts and personal assets if we foreclosure. I appreciate any ones help.
Thanks,
Rose.
I have question on foreclosure. What are the effects of foreclosure on credit score? If lender wants to back on us can he do that? Can he come after my and my husband bank accounts and personal assets if we foreclosure. I appreciate any ones help.
Thanks,
Rose.
Hi Rosewood,
Welcome to our community forums.
The bank can come after your bank accounts and personal assets provided you aren't able to pay the deficiency, if any. I mean if the sale price isn't enough to cover the balance, the lender may file a deficiency judgment in order to make you pay the remaining debt. In case you can't pay it, then he may garnish your wages, come after your assets or even place a lien on some other property that you may have.
By the way, in which state do you reside and is it a purchase mortgage that you're talking about?
Regards,
Jessica.
Welcome to our community forums.
The bank can come after your bank accounts and personal assets provided you aren't able to pay the deficiency, if any. I mean if the sale price isn't enough to cover the balance, the lender may file a deficiency judgment in order to make you pay the remaining debt. In case you can't pay it, then he may garnish your wages, come after your assets or even place a lien on some other property that you may have.
By the way, in which state do you reside and is it a purchase mortgage that you're talking about?
Regards,
Jessica.
Thank you very much for your reply Sussane & Jessica. My home is in Arizona it is our primary resident we don't have any other properties, the home value dropped around 40% of original amount. Is there any way we can come out this problem. We called lender to drop my loan amount they said unless we missed the payments they cann't do any thing. Please help us.
--Thanks
--Thanks
Hi rosewood!
Your lender is right. Lenders do not agree to a loan modification unless you are late on payments. Did you try the option of forbearance with the lender? In this process, the lender may reduce your payment amount or the lender can even suspend it for a few months. This will help you in getting back on track and continue paying as usual. The lender may also suggest a repayment plan along with this.
You can also check the link given by Sussane to know about the various options available to avoid foreclosure.
Thanks,
Jerry
Your lender is right. Lenders do not agree to a loan modification unless you are late on payments. Did you try the option of forbearance with the lender? In this process, the lender may reduce your payment amount or the lender can even suspend it for a few months. This will help you in getting back on track and continue paying as usual. The lender may also suggest a repayment plan along with this.
You can also check the link given by Sussane to know about the various options available to avoid foreclosure.
Thanks,
Jerry