Bankruptcy Law Questions? Ask a Bankruptcy Lawyer Now.
It is all going to depend on if her name is XXXXX XXXXX note or not. If her name is XXXXX XXXXX refinanced mortgage they will pursue her for the note, and will have the legal right to do so. They will sue her for the difference between what they get at the sale and what was owed on the note, its called a deficiency judgment.
The only way to avoid this if she is on the note, is to file a joint bankruptcy petition.
Well you said she didn't sign the note, then you said she signed the refinance. If she signed the refinance, that is a new note, and makes her responsible for the note she signed. If she didn't sign the refiance note or the original note, then she has nothing to worry about. I know you must be quite stressed.........
Are there two mortgages? or did you just refinance the original mortgage.
If she is not on either note, you will be fine. I am actually not sure why they would have her sign mortgage papers and not the note, but if she did not agree to the note by signing, then she is not on the debt.
I would pull both of your credit reports from all three credit bureaus, you can do this once a year for free at www.annualcreditreport.com, and see if the mortgage is being reported on HER report. Reason is the bankruptcy, if done, may show up on her report because the mortgage was discharged. If the mortgage is being reported, dispute it now stating that this is not her mortgage, that way it will not show up as a bankruptcy down the road if you do end up filing.
DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.
The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).