Do I need to file chapter 7?

[BSunrise]

I am in Florida.

I divorced in 2008. In the settlement the mortgage was to be his responsibility. I quit claimed the property over to him. He remarried and his new wife wanted their own home so he defaulted on our old home. I have remarried as well. I do not work. I am a stay at home mom. I have one asset in my name. A 10 year old paid off minivan worth about $3k. Ex supposedly filed bankruptcy and I thought the house was to be included but the bank sold it to another bank and they are trying to sell it. It still shows up on my credit report under this new bank as of 3 months ago (but shows the account was opened in 2005). I also have a credit card with the original lender on the mortgage that I stopped paying when my ex got behind on his child support payments.

I have negotiated a small payoff on the credit card (actually it was discharged to a collection agency) but if I need to file bankruptcy for the house I may as well include both creditors in the bankruptcy since the cost of an atty will be the same regardless. (and close to the cost of the settlement)

If I do not file bankruptcy what would be my repercussion for not paying on the old house? Will they just seize the house or will they come after me, my asset and subsequently my new husband's home?

Any help is greatly appreciated

Billie

[keepmine]

They're going to take the home regarless if you file bk or not.
It's secured by the mortgage. If you file bk, you won't be responsible for any deficiency balance should they decide to sue you.
Until you get this sorted out, you don't need to be on your husbands bank accounts or, have any joint accounts like an auto loan or be on the deed to his home.

[bcohen]

They're going to take the home regarless if you file bk or not.
It's secured by the mortgage. If you file bk, you won't be responsible for any deficiency balance should they decide to sue you.
Until you get this sorted out, you don't need to be on your husbands bank accounts or, have any joint accounts like an auto loan or be on the deed to his home.

She doesn't care if the old house--which she no longer lives in, and quitclaimed to her ex-husband--is foreclosed and sold. What she is worried about is the possibility that once this house is foreclosed, the mortgage lender might come after her (and her ex jointly and severally) for the deficiency, which could result in joint bank accounts being levied, or a lien being placed against the house where she currently lives together with her new husband.

The answer to these questions is that if there is a significant deficiency upon foreclosure, the lender might very well come after you and your ex-husband. Florida is a state which allows for deficiency judgments on a primary residence, and regardless of what your divorce decree says, the lender could choose to come after you alone, your ex-husband alone, or both of you together. If you are sued for a deficiency balance, the resulting judgment would allow the creditor to garnish your wages, levy any bank accounts which are in your name--or are joint with your new husband, and possibly to place a lien against your current house if your name is on the deed. Since Florida is not a community property state, a judgment against you would not allow the creditor to place a lien against your current house if it's ONLY in your new husband's name.