Foreclosure and Divorce

[musclecar75]

My dad is currently not working (he lost his job) and is also going through a divorce. To top it off, his house is in foreclosure. Since he and his soon-to-be-ex didn't have a lot of assets, he has agreed to take on their $20,000.00 credit card debt and has signed a quit-claim deed to the property (his wife was trying to hold on to the house.)

She hasn't been able to work anything out with Citibank, so the house is scheduled to be sold in a few weeks. Since the house is worth less than the loan, my dad knows the bank will still come after him for the difference, which is why he is planning on filing bankruptcy.

How would he go about filing a bankruptcy, since the mortgage loan itself is in both his and his soon to be ex wife's names, even though he quit-claimed his interest in the property?

[bulletproof77]

A quit claim does not work because the lender has to agree to it and never will. Your dad needs to approach his ex about filing jointly and including all debt. If she does not wish to file with him, he can file on his own. He also needs to stop "agreeing" to take on JOINT debt. Divorce becomes a lot like a war.....Again, quit claims are not valid in virtually any state unless a mortgage lender agrees to it and they do not..