the lender that holds the 20 % of the mortgage is declaring chapter 11 bankruptcy. how does that affect the homeowner and the loan he has with them?
?
Favorite Answer
No effect at all. 99% of the time a company claims bankruptcy the court permits the company to continue conducting business. You do not enter into the equation at all.
M W
You still have to pay as agreed in any documents you signed. The Bankruptcy Trustee will appoint someone to oversee the everyday business of the failed company. Their bankruptcy does not affect you, except you may be advised to send your payments to a different entity.
Anonymous
you sure they didn't already sell that 20%?
David Clarke
very serious indeed