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2nd Mortgage - Settlement Offer

Posted on: 06th Apr, 2009 12:28 pm
I purchased some investment properties in the state of TX that went under. They both had 2nd mortgages for 88K a piece. I've been in communication with the debt collector and they are sending me a demand letter for 18K which would then settle both accounts. He also said they would file a judgement if I don't settle for that. My question is: Should I file bankruptcy instead? I think I may be able to file Chap 7 if I pass the means test. Should I just go to court? I don't think they can garnish wages in TX so that leaves just putting a lien on my house (which I'm never going to sell anyways). Is there anything they can do? I could pay the 18K, get all that debt off my credit then start over I guess. Just wanted to get someones opinion on my options.
Hi steph!

Welcome to forums!

While settling your dues with your second lender, you should offer such an amount which you will be able to pay off. There are chances that the lender will not be ready to accept it but you will have to negotiate with the lender so that he accepts it.

Feel free to ask if you've further queries.

Sussane
Posted on: 19th Jan, 2011 09:27 pm
i settled a second mortgage i had with rtr for 10% of the total amount owed. they were a pain in the butt to deal with but it ended up being worth it.
Posted on: 02nd Dec, 2011 03:13 pm
Welcome JC,

Thanks for sharing your experience with us!! :)
Posted on: 19th Dec, 2011 01:11 am
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