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Complex question on deficiency judgements? Please help

Posted on: 08th Apr, 2009 04:26 pm
Hello,

I am no longer able to make my loan payments due to hardship. I live in Massachusetts. I invested in land in North Carolina. It is my understanding that N.C. is a deficiency state and the bank (BB&T) has told me they will file a deficiency judgement on me which will last 10 years. My question is this: Massachusetts is a non-deficiency state and that is where I live. My investment was in North Carolina which is a deficiency state. Can the bank BB&T in N.C. sue me for my personal assets (I own two homes) in Massachusetts or garnish my wages? Thank-you very much for any help with this. Things have been tough personally and financially.
Hi billywright,

If your lender in North Carolina decides to come after your property in Massachusetts, he will have to file a lawsuit in the court and get a judgment for that. Most of the times lenders do not file a lawsuit but your lender can definitely garnish your wages or savings account in order to recover the deficient amount.

Thanks
Posted on: 08th Apr, 2009 07:34 pm
It was my understanding that the wages cannot be garnished unless the bank can get a deficiency judgement which in Massachusetts, I do not believe they can. Your best bet would be to hire a lawyer. A few thousand dollars now could save you quite a bit later and buy you some piece of mind.
Posted on: 27th May, 2009 08:10 pm
I have an approved short sale from Bank of America. They are the second lien holder on my property. It states in the beginning that BOA can exercise their right to come after the deficiency. I live in the state of MA, it is my understanding that MA is a no deficiency state. Is this true? If so where can I go to get information to support this for future reference in case the bank contacts me. Thanks
Posted on: 25th May, 2010 07:52 am
Hi Debra,

As far as I know, deficiency judgments are not permitted in Massachusetts. You can check out the given page in order to check out the information: "http://www.foreclosure.com/statelaw_MA.html". However, I would suggest you to contact an attorney and he will help you in a better way in this regard.

Thanks
Posted on: 25th May, 2010 09:21 pm
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