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NJ Deficiency Law

Posted on: 08th Mar, 2010 09:26 am
Does NJ deficiency law allow a lender to sue a borrower and/or place a lien on assets such as income from a TRUST or the principal of a TRUST if their home is foreclosed and sold at a lost to the lender?
Hi Ken,

Deficiency judgment is allowed in New Jersey. The lender will be able to sue you for the deficient balance after the foreclosure sale. If you are unable to pay off the balance amount, then the lender can place a lien on your other properties or garnish your savings account.

Take care.
Posted on: 09th Mar, 2010 01:04 am
Sara,

If bank issues a deficiency order to me and I do not give them my savings account details, can they find my accounts and garnish them? Also can they garnish life insurances? Thanks
Posted on: 05th Feb, 2011 05:55 am
Welcome corinne,

If a judgment is issued by the court, then you'll have to provide them with the savings account details. If you do not follow the court order, then the court may issue arrest warrant against you.
Posted on: 06th Feb, 2011 11:22 pm
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