@StartingOver10 wrote:
@cmitch wrote:
Thanks for the reply and moving my question to a more appropriate forum however I have to disagree with you on owing my previous lender. My loan was secured with the property, they took the property and sold it to satisfy what was owed, there was no defiency after the sale, my balance is $0. My issue is a matter of their coding and status on my credit reports.
I am not being argumentative here, but in every foreclosure I have seen there is a deficiency balance and in quite a few of the foreclosures the deficiency was due to the lender's penalty rates plus attorney fees plus every other fee that the lender could throw at the homeowner. Many thousands added in fees - in fact, not unusual for the lender to add $100k+ in default interest, past due payments and attorney fees etc.
I'm not saying this is impossible at all. You would have had to have had a good amount of equity to not have a deficency balance. And with that amount of equity it would have made since to sell the property prior to the f/c.
Normally the $0 balance shows for accounting purposes at the time the deficiency is sold off after the f/c. There are debt buyers out there that buy these deficiency judgments and then begin their own collection procedures.
Not if OP lives in a non-recourse state. There would be a bar on collecting the deficency balance even if there was one.
