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Foreclosure deficiency civil action

Date: Sat, 08/08/2009 - 07:21

Submitted by anonymous
on Sat, 08/08/2009 - 07:21

Posts: 202330 Credits: [Donate]

Total Replies: 3


I have been served a civil summons for a deficiency balance on a foreclosure.
1)If I file BK, will that negate the judgment?
2)What can they do to collect if I don't file BK?


Quote:

If I file BK, will that negate the judgment?

Yes, if you file bankruptcy under Chapter 7 and it gets discharged, you will not be required to pay the deficiency balance. If you don't file bankruptcy the creditor can bring judgment against you and recover the debt through garnishment.
Now, since you have already received the summon, you need to file a response to it within 30 days in order to avoid default judgment.


lrhall41

Submitted by SC on Mon, 08/10/2009 - 03:22

( Posts: 3937 | Credits: )


Thank you for your response. I just wanted to make sure, I live in a mobile home, not quite paid for and my husband is afraid they could take our current home and our cars which are free and clear, I told him I didn't think so, but wanted to make sure. We just don't have the money to pay an attorney or file bankruptcy right now.


lrhall41

Submitted by on Mon, 08/10/2009 - 10:18

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Quote:

We just don't have the money to pay an attorney or file bankruptcy right now.


Many of the attorneys would agree in receiving their fees in installments, i.e. you have to pay his cost over a period of time and not in lump-sum. Try to find an atty who would agree to such arrangement.

Now, filing ch-7 would cost you around $299 and for ch-13 you may have to spend $274.


lrhall41

Submitted by SC on Tue, 08/11/2009 - 03:16

( Posts: 3937 | Credits: )