Posted on: 16th Mar, 2010 04:10 pm
i am doing a deed in lieu with my lender. they want me to sign an unsecured loan for $30,000 due and payable in 5 years with zero percent interest rate. i want to sign just get out the house. what happens if i don't pay in 5 years? since its an unsecured loan what can they do to me?
Welcome dbs,
The lender cannot force you to sign the unsecured loan as I think it would be considered as illegal. However, if you sign the loan and do not pay off the dues after 5 years, the lender can charge off the loan which can further lower your credit score.
The lender cannot force you to sign the unsecured loan as I think it would be considered as illegal. However, if you sign the loan and do not pay off the dues after 5 years, the lender can charge off the loan which can further lower your credit score.