Question about lien on house

[toomuch]

If a creditor does put a lien on our house before I file, (hubby already filed a chapter 13), what then? My attorney wouldn't elaborate, just said try not to let it happen or it will cost a Lot more money per month when I do file. Does that mean it can't be removed and I have to pay that creditor (cc) the full amount owed? Also, can more than one creditor put a lien against the house?
Does the interest and late fees keep accruing (sp) after the lien is placed?
I'm obviously confused about this and have looked all over the board for some answers.

Oh, btw, I am on the deed (quit claim) but am not on the loan.

Thanks,

Toomuch

[CRK]

Im not a expert but i have 4 liens on my condo but i dont have the money to file. Im in Connecticut and this is the way i understand it, when you go threw bk the liens are not removed you have to go threw another step, i belive you have to go before a judge to have the liens removed and that cost more money.

[HereInOhio]

How does a lien get put on your home by another creditor?

[lrprn]

How does a lien get put on your home by another creditor?

The creditor takes you to court and gets a judgment in their favor that allows them to place a lien on your property. That way when you finally sell the asset, if the lien is still in place, then the creditor gets their money from the proceeds.

Another common option after winning a judgment for non-payment is for the creditor to garnish your wages if you live in the states that allow that (Texas doesn't allow wage garnishment). The maximum amount that can be is usually 25%, although this does vary from state to state.

[toomuch]

Okee-Dokee. I saw the attorney today and asked about liens on my house. He said.....and this is in the state of Georgia......that once a lien is put on your house, it can not be lifted/removed unless you have less than 20% equity in your home. If you have 20% or more, it stays until the home is sold. It does keep accruing (sp) 12% interest on and on.....and he wasn't absolutely sure about late fees, etc......

He also said that before anyone can place a lien, they have to notify you first......have papers served by a deputy or certified letter. I then would have a total of 60 days to *do something* to avoid the lien being placed. More than one creditor can place a lien.

I told him I have to sell my car that my stepfather cosigned for me to get before I can file. He stunned me by suggesting I go ahead and file and maybe stepdad won't find out about it if he doesn't apply for credit. That bothers me, that he would suggest I do that. I can't, in good faith, do that to someone who is helping me. Plus, stepdad would get notice in the mail, I'm sure.

We talked about some other things and it was worth the 50 mile roundtrip to see him.

[ssdsco]

Here's my understanding -

Judicial liens (put on property after a judgment) can be removed after the debt has been discharged if the lien interferes with a valid bankruptcy exemption. If you have a house with $20,000 worth of equity and you are entitled to a homestead exemption in excess of $20,000 you can petition the court and have a judicial lien removed.

[JRScott]

toomuch go to your stepdad and mention the trouble you have. If you file bk he will find out as the creditor if he cosigned for it can come after him. Sitting down and being honest about the situation with your stepdad is the best.

The reason your lawyer probably doesn't want you to sell it beforehand is that the trustee is likely to ask about the sale of any property before filing. Since you are thinking of selling it since your dad cosigned for it the trustee might think it is suspicious and start digging deeper. Even if he finds nothing it can be a pain and take more time and money to fight.

[Flamingo]

I told him I have to sell my car that my stepfather cosigned for me to get before I can file. He stunned me by suggesting I go ahead and file and maybe stepdad won't find out about it if he doesn't apply for credit. That bothers me, that he would suggest I do that. I can't, in good faith, do that to someone who is helping me. Plus, stepdad would get notice in the mail, I'm sure.

You are dealing with a cut and dry attorney there, but probably a good one. Other attorneys would have advised you otherwise as to your stepdad. Some attorneys go in like a tornado in a trailer park to get things done and don't care of the wake that is left but take care of their client only. It all depends on what you want to do and he did give you advice you can consider. The attorney would not make the decision for you, but only gives you advice for you to consider as to your situation.