what would you do?

[ANU]

We were told by the clerk that when a wage garnishment is recorded it is an abstract judgment, therefore it automatically becomes a lien on any real estate... That was when we decided to file Bk chapter 7 and surrender the house.

I guess my question is; would you stay if you have an 18,000 lien on your home? Our attorney told us that we wont personally be responsible for it, but it remains on our home if we ever sell. Is there anyway a lien can be removed if the judgment was for a credit card and that is now included in our BK? I don't understand how this all works and need help.

We aren't sure if the trustee will even want to pursue a sale or abandon any interest in the house. We don't want to stay and have the lien on the house,
but what if we leave and he doesn't want it either then what happens? If we stay and decide to sell later we still have to pay a lien and any realtor fees - is it worth it?

We live in VA so our Homestead exemption is 10500, our house is valued at 240k and we owe 208k, if we walk away do we get that once the house sells? I am waiting for a response from our attorney, I believe he said we would but I also wanted to ask the wise people on this forum


Thank you all in advance for any advice

[TEW]

I would file bk let house go into forclosure and get on with my life.

[AngelinaCatHub]

I believe TEW, she said she is in Bk. If this is true, your garnishment should stop by the automatic stay. Now about the garnishment being a lien against your house, I would need more info. If it has nothing to do with your house they cannot lien your house. You really need to GRILL your attorney as if you are registered Bk you would not be garnished. More info please. ‘Hub

[TEW]

Mr. Cat the tattle of the post is "what would you do?" thats what i would do

[BK2008]

Ask your attorney on this. If it is a WAGE GARNISHNENT, and they are garnishing, it seems a little out of line that it should also be a lien on real estate, too. I don't think you can have it both ways.

[ssdsco]

We were told by the clerk that when a wage garnishment is recorded it is an abstract judgment, therefore it automatically becomes a lien on any real estate... That was when we decided to file Bk chapter 7 and surrender the house.

I guess my question is; would you stay if you have an 18,000 lien on your home? Our attorney told us that we wont personally be responsible for it, but it remains on our home if we ever sell. Is there anyway a lien can be removed if the judgment was for a credit card and that is now included in our BK? I don't understand how this all works and need help.

We aren't sure if the trustee will even want to pursue a sale or abandon any interest in the house. We don't want to stay and have the lien on the house,
but what if we leave and he doesn't want it either then what happens? If we stay and decide to sell later we still have to pay a lien and any realtor fees - is it worth it?

We live in VA so our Homestead exemption is 10500, our house is valued at 240k and we owe 208k, if we walk away do we get that once the house sells? I am waiting for a response from our attorney, I believe he said we would but I also wanted to ask the wise people on this forum


Thank you all in advance for any advice

According to my attorney a lien can be removed in BK if the lien impairs a BK exemption which in your case it sounds like it does. My attorney charges an extra $250 for lien removal.

Let us know what your attorney says.

[ANU]

Thanks guys, I appreciate your input. I questioned them having a lien and a garnishment at the same time as well but I was told at the clerks office that in the city of Newport News it becomes an automatic lien when a judgment is granted even if they have garnished his pay... this was a capital one credit card nothing to do with the house!When I asked my attorney he gave me the same response. Maybe the laws in this city are different. I never imagined a lien and garnishment at the same time was even a possibility. You live you learn - even if it is the hard way.

What I thought was weird was that when I asked the clerk nothing showed up at all except for the judgment, but then she asked another man and he said - if we recorded it here in this court -there is a lien on your real property. I didn't ask again. I figured it was a sign that we just need to walk away and not try to hang on to something that got us here in the first place.

I am a little sad that we will have to move during the holidays but other than that I know we will be ok and happy - It's hard to leave not knowing what the trustee will decide, we thought of staying and saving up some cash for the move, but living in limbo does not sound fun. We just don't know what to do.

[TEW]

ANU
It is a sad story but there are better things to come. We DW and I had talked about staying in our house not even a home anymore until the kicked us out.
She wants to move on and I am going to do everything i can to make that happen.
things will get better