Posted on: 19th Nov, 2007 09:06 am
She has college loans to pay. If she can't or doesn't repay, can they put a lein on our property or take it away as payment for her debt?
Hi trishsjones,
Welcome in this forum.
If your grown up daughter can't or doesn't pay the college loan, the lender will put on the property as she owns it after your quitclaim. If she can't pay it, she should contact the lender asap. Let him know her problem and the lender may provide her some other options for the repayment. But if does not inform the lender about her problem, then the lender will put lien against the property.
Thanks,
Larry
Welcome in this forum.
If your grown up daughter can't or doesn't pay the college loan, the lender will put on the property as she owns it after your quitclaim. If she can't pay it, she should contact the lender asap. Let him know her problem and the lender may provide her some other options for the repayment. But if does not inform the lender about her problem, then the lender will put lien against the property.
Thanks,
Larry
Student loans are government subsidised loans so when they are not payed for a while (3-5 years) they go back to the government who in turn starts to collect through department of Education. At this time government can come after any assets you have ( property,wage garnishments, tax return garnishments, freezing accounts ect. )
So to answer your question yes they can. And no matter what your daugter will end up paying this.
So to answer your question yes they can. And no matter what your daugter will end up paying this.
My husband and I added our daughter by quitclaim to our deed so that if anything happened to us, the house would belong to her. Now three of us are equal owners. I thought that if for any reason she had trouble paying her debt, a lein would be put only on HER third of the ownership until the debt is paid. We have no intention of selling and we have nowhere else to go. Should we remove her from the deed for our future security?
Hello Trishsjones,
Since your daughter has share in the property, it might get a lien placed on it. Even if it is on her portion, you cannot sell or refinance the property without clearing the lien.
You may remove her from the deed in order to secure your home from getting a lien placed on it.
It will be better to pay off the debt as early as possible otherwise this might create further complications.
Since your daughter has share in the property, it might get a lien placed on it. Even if it is on her portion, you cannot sell or refinance the property without clearing the lien.
You may remove her from the deed in order to secure your home from getting a lien placed on it.
It will be better to pay off the debt as early as possible otherwise this might create further complications.
I appreciate being able to ask all these questions. Happy Thanksgiving!
Hi trishsjones,
Happy Thanksgiving to you and all the Mortgagefit members.
Happy Thanksgiving to you and all the Mortgagefit members.