Expert: Apex Credit Services, LLC - 5/5/2008

Question
Hi, I live in texas getting ready to move to virginia in 4 weeks. Me and my wife were scammed by a mortgage broker in a house deal with a builder. I let the house foreclose. The mortgage broker did some kind of 2 part deal to get the loan. A first and second mortgage to buy the house. The collection agency people want 48,000 for the second mortgage. I asked them what I get if I paid it. Of course I wouldn't get anything. The house was sold at auction. I told them that they are crazy. I refuse to pay that kind of money for nothing. What do think I should do if anything. My credit is already ruined to some degree. If I move to virginia what happens? Thanks , Steven

Answer
Steven:

   You could request validation from the collection agency but, that is largely a fruitless effort with an amount so large.  Worst case scenario is that they sue you but, since you have no assets and bad credit, it doesn't really matter.  As far as moving to Virginia from Texas, you simply lose the wage garnishment preclusion that Texas residents enjoy.  In short, you're far more likely to be sued in Virginia than you would be in Texas.

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