North Carolina  |  Bankruptcy

Legal Question

Asked on: 12/04/12, 1:04 pm

My wife and I have a joint mortgage debt for investment property. If I file for Chapter 7 separately and my liability is discharged my wife becomes the sole debtor. We no longer have a joint debt. In that event, can a creditor place a lien on our house, which we occupy by tenancy by the entireties?

1 Answer

Answered on: 12/04/12, 4:48 pm by Rachel Hunter

Yes. They cannot force a sale but a judgment is automatically indexed as a lien on the property. So the lender could sue your wife on her liability, get a judgment and then seek to enforce it against her. So if you are going to file, then I suggest that your wife file as well if you are planning on letting this property go. Its going to be foreclosed on if you are not paying for it. however, you will want to discuss this with your bankruptcy attorney.

Where is the investment property located? What kind of investment property is it?

Did you find this answer helpful?

0 Users found this answer helpful.

0 Attorneys agree with this answer.

Attorney address not available

Other answers from this attorney

Didn't find what you were looking for? Ask an Attorney!

Get answers from the top Attorneys
Ask Question

133 Answers given in the last few hours.

8661 Active attorneys ready to answer your question

Search Past Answers:
  Advanced Search