Tag Archives: deficiency balance

Why would lender deny short sale and push for a foreclosure?

Recently on our legal forum a user asked, “I lost my job six months ago. My wife lost her job last month. We purchased a home two years ago and can no longer make mortgage payments. I thought a short sale might be a great way to get rid of the home. The bank refused to consider a short sale and is now going to foreclose on the home. How can this be better for the bank?”

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Chapter 7 discharge is it too good to be true?

Recently on our legal forum a user asked, “I have more than $50,000 in student loan debt from five years of trying to get my doctorate degree. I also owe $19,000 in credit card debt and $5,000 for my car. Unfortunately, I have not been able to get a job since I left college 2 years ago. I keep hearing stuff about getting a Chapter 7 discharge. It sounds too good to be true. What is it?”

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