Collections Law/FORECLOSER

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Expert: Michael Brotherton - 1/12/2008


Question
IF YOU RECIEVE NOTICE THAT THEY ARE GOING TO AUCTION YOUR HOUSE OFF AT THE COURTHOUSE, DOES THIS MEAN THAT IF THEY DON'T RECIEVE AT LEAST WHAT YOU OWE THAT YOU HAVE TO PAY THE DIFFERENCE OR IS IT FINAL AND YOU ARE FREE AND CLEAR OF FINANCIAL REPONSABILITY.  I REALIZE YOU STILL HAVE A HUGE MARK AGAINST YOUR CREDIT RATING.  I AM WRITNG THIS IN RESPONSE TO MY CHILDS CURRENT SITUATION, OF WHICH I CAN'T HELP HER OUT.  THANK YOU.

Answer
In most cases they may collect on the deficiency balance although many mortgage companies are forgiving the balances and sending a 1099 form and the deficiency must be added to your income and taxes paid on it as regular income. You may be able to get out from under this but you will need to speak to a CPA. The laws are being changed with regard to this issue and relief is in site.

If she wants to keep the home and can afford it there are programs that can help her get a fresh start. I may be able to help. Have her contact me at 877 270 8204 and I will look at her situation.

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Michael Brotherton

Expertise

Consumer/Debtor Rights Advocate. Mike Brotherton is a negotiator with over 30 years experience in consumer lending and collections. Mike has 30 years in the credit and collections industry as a former loan officer, debt collector and manager of two finance companies over several years. Mike is well versed in Loss Mitigation practices and the legal collection process. He has helped literally thousands of people over many years overcome serious financial problems such as foreclosure, creditor lawsuits and abuse by debt collectors. For more information about resolving your "financial emergency" visit www.financialemergency.com. FinancialEmergency.com is a consumer web site which actively promotes Fair Debt Collection Practices and other consumer protection laws. We teach DEBTOR RIGHTS and enforcement of those rights. The more informed you are of your rights and the credit collections practices of creditors the more peace you can have dealing with your FINANCIAL EMERGENCY. Most financial problems are fairly common and as such have some very common solutions. The key is understanding your rights in the collection process and how to enforce them if need be. Primary business- Debtor Rights Advocacy and Debt Mitigation relating to foreclosure, creditor lawsuits, and other serious financial problems. www.financialemergency.com (copy and paste in browser).

Experience

Over 40 years combined experience negotiating disputes and resolving financial issues related to consumer debt, corporate issues and mortgage modifications.

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