Legal Question in Credit and Debt Law in Arizona

We have a 2nd mortgage on a house that was forclosed on in 2010. We moved when the mortgage company 1st told us the foreclosure was going to happen which were months before it actually took place. We told the company with 2nd, that we could no longer pay them and asked if they could take a settlement. They told me no and they were relentless with the hassarring phone calls for many months. I kept asking them to quit calling and to contact us thru mail. They would continue to call 8 and 10 times a day. We now have been served with documents, ( summons,certificate rearding complusory arbitration and complaint) that state we need to file an answer to their attorney within 20 days. Could you tell me what this all means? Do we have any recourse?

Asked on 6/19/11, 10:51 am

1 Answer from Attorneys

Christy Thompson Thompson & Faas, Attorneys at Law

When you have been served with documents, like the ones you describe, it means you have been sued. It appears that the 2nd mortgage is attempting to collect on monies that were not collected at the foreclosure sale. Some of the things you should find out would whether your home was purchased, whether the 2nd was paid any monies and legally whether they have the right to sue you. Consider speaking with a foreclosure attorney who can explain the statutory requirements.

For example, if there was a trustee foreclosure of your home, the lender has no right to bring suit after the foreclosure, regardless of whether the mortgage was original to the home or a home equity line of purchase, "HELOC". I would strongly suggest speaking with a foreclosure attorney to learn your rights and defend against this lawsuit. I hope this perspective helps.

Read more
Answered on 6/20/11, 8:49 am

Related Questions & Answers

More Credit, Debt and Collections Law questions and answers in Arizona