spoiler Posted April 19, 2007 Report Share Posted April 19, 2007 Okay, So a friend and I were talking today and got into a little debate. I want to know who is right. Here is the scenario-He has a chapter 7 bankruptcy discharged two years. He has a mortgage of about 100,000. He also has an equity loan of just under 5,000. He did not reaffirm either mortgage.He wants to stop paying his equity loan. We both have differing views about what would happen if he did this. one of us thinks the equity lenders would petition the mortgage company to foreclose. and one of us thinks the equity lenders wouldn't do anything about it. what do you all think?? Link to comment Share on other sites More sharing options...
momof5 Posted April 20, 2007 Report Share Posted April 20, 2007 The equity lenders would foreclose.My brother had serious issues with equity lenders even while he was in BK13. They kept trying to lift the stay and foreclose anyway. Every time they filed, my brother got hit with more legal fees! It nearly cost him a dismissal because he couldn't make his payments AND pay the lawyer to stave off the equity lenders!If he wants to keep his house, keep paying. Link to comment Share on other sites More sharing options...
LadynRed Posted April 20, 2007 Report Share Posted April 20, 2007 I agree. Even though the mortgage debts were discharged w/o a reaff, they are still secured loans and if you stop paying, the lenders have the right to foreclose to recover the property. Link to comment Share on other sites More sharing options...
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