Posted on: 28th Jun, 2009 06:42 am
i live in michigan...at bankruptcy, i did not reaffirm my home equity loan.. if i sell my home and have cash out after paying off my first mortgage, am i legally responsible to pay on my home equity loan/line of credit?
yes. your are answerable.
This may have serious impact on your credit report and will stay on your report for seven years. So it is better if you take some time to work out a plan and try to pay off the money.
The second lender didn't release you from the mortgage and you still carry the liability to pay it.
Based on the state that you belong to, the lender can file suit against you anywhere between four to fifteen years. The time normally starts from the date the loan would have come due.
You might get harassed by the collection agencies later on or may face problems when you apply for another mortgage later.
But as you know everything passes away with time. So, your case too will improve either by your repayments or with time.
This may have serious impact on your credit report and will stay on your report for seven years. So it is better if you take some time to work out a plan and try to pay off the money.
The second lender didn't release you from the mortgage and you still carry the liability to pay it.
Based on the state that you belong to, the lender can file suit against you anywhere between four to fifteen years. The time normally starts from the date the loan would have come due.
You might get harassed by the collection agencies later on or may face problems when you apply for another mortgage later.
But as you know everything passes away with time. So, your case too will improve either by your repayments or with time.