Posted on: 12th Mar, 2010 11:55 am
Hi,
I have 2 investment houses in Arizona and were foreclosured last year.
I received 2 1099-A forms. One with the box 5 checked Yes, and one with box 5 check No.
Does it mean that the lender would not go after me for the box 5 checking "No", and the lender would go after me for the box 5 checking "Yes"?
Also, I read foreclosure law in Arizona and thought the lender cannot sue me for deficiency judment if estate is less than 2.5 acres.
Now, I am confused. Will they go after me even 10 years later? I called the lender and they said debt collector department after I punched in loan number.
Help!!!!!
I have 2 investment houses in Arizona and were foreclosured last year.
I received 2 1099-A forms. One with the box 5 checked Yes, and one with box 5 check No.
Does it mean that the lender would not go after me for the box 5 checking "No", and the lender would go after me for the box 5 checking "Yes"?
Also, I read foreclosure law in Arizona and thought the lender cannot sue me for deficiency judment if estate is less than 2.5 acres.
Now, I am confused. Will they go after me even 10 years later? I called the lender and they said debt collector department after I punched in loan number.
Help!!!!!
Welcome trnpham,
1099a form deals with the acquisition or abandonment of secured property. Box 5 of the form deals with whether or not the borrower is personally liable for repayment of the debt. The lender who has checked "Yes" on box 5 will have the rights to claim the deficient amount from you. You may negotiate with your lender so that he forgives the deficient balance resulting from the sale of the property. You should check out whether or not your balance amount has been sent to collections. If yes, then you will have to negotiate with them.
1099a form deals with the acquisition or abandonment of secured property. Box 5 of the form deals with whether or not the borrower is personally liable for repayment of the debt. The lender who has checked "Yes" on box 5 will have the rights to claim the deficient amount from you. You may negotiate with your lender so that he forgives the deficient balance resulting from the sale of the property. You should check out whether or not your balance amount has been sent to collections. If yes, then you will have to negotiate with them.