Best Answer

You are responsible as long as you are the legal owner of the property, Bankruptcy usually discharges certain debts including property related debts. If the mortgage company chose not to exercise their foreclose options then you may still be the legal owner of the property. Depending on the property valuation the mortgage note holder may have determined it more profitable not to proceed with a foreclosure process.

Additionally; If fines were already issued prior to a foreclosure, you would still be liable for payment of those fines as well.

User Avatar

Wiki User

โˆ™ 2007-04-13 07:35:47
This answer is:
User Avatar
Study guides
See all Study Guides
Create a Study Guide

Add your answer:

Earn +20 pts
Q: How can you be responsible for code violations on business property discharged in bankruptcy in 1997 if the mortgage holder will not foreclose?
Write your answer...
Related questions

Is there a time limit for banks to foreclose on your home after filing bankruptcy been discharged?

The bankruptcy law does not set a time limit for banks to foreclose on your home after filing bankruptcy. In fact, banks are prevented from foreclosing or continuing a foreclosure already in process upon the filing of a bankruptcy without first obtaining an order from the bankruptcy court allowing it to foreclose or continue a foreclosure already commenced.

Do you have to file bankruptcy in order to foreclose?

If the mortgage is not paid.....then the home will foreclose and the owner will need to vacate. This is not a bankruptcy. So, the answer is no. You do not have to file bankruptcy in order to foreclose.

Can second mortgage lien holder foreclose on your home after bankruptcy is closed?

The short answer is yes they can because once the bankruptcy is discharged you no longer are protected for debtors who wish to collect on a debt.

If you have been been discharged of All Debt without payment can a bank foreclose on your home?

If the home was part of the bankruptcy - possibly. It all depends on what the wording of the mortgage agreement may be.

Can you file bankruptcy if your home is being foreclose?


Bankrupty or foreclosure which is best?

bankruptcy is better. If you have to decide foreclose or banko, put your house in bankruptcy. When you have a foreclosure, they can sue you for the balance

Can you declare bankruptcy on your mortgage in californiat?

Yes, your obligation under the promissory note will be discharged, however, the security interest will remain. This means the lender can still foreclose on the property if payments are not made. If you plan to surrender the property to the lender, then this isn't an issue.

Can they foreclose on a home filed under chapter 7 bankruptcy?

It will, at most, briefly delay the process.

When you miss a payment while your under Chapter 13 in GA for your mortgage can the mortgage come and foreclose?

Yes, they can petition the court for the ability to foreclose while you are still in bankruptcy. This is called "relief from stay". If you do miss a payment, I would encourage you to call your lender and work it out. They cannot call you while you are in bankruptcy. They do not want to foreclose in this environment and are very willing o work things out.

Can a second lienholder of real property foreclose?

Yes. The second lienholder can foreclose. The new buyer is still responsible for any senior liens.

When you do not include your house in a bankruptcy and then get a loan modification but still cannot pay the monthly payment can the bank take your house if you pay something on it every month?

Yes, if you are not making payments on your home, the bank can foreclose. Even if you are paying something, if you are not paying the amount agreed to in the loan modification or original contract, the bank can foreclose. If bankruptcy is active, they may need permission from the court but if payments are not being made in a timely fashion the court generally grants permission to foreclose. The moral of the story - make your payments or the bank can foreclose!

Is it better or worse for your credit to let the bank foreclose on a mortgage of a second property while facing bankruptcy?

A foreclosure or bankruptcy is never good for your credit, this is something you'd be better off discussing with an attorney. You can avoid foreclosure by filing bankruptcy.

If a husband dies will a wife be responsible for the mortgage debt even if she is not on the note?

His estate will be responsible for the mortgage. Assuming the wife is not on the deed, if the mortgage isn't paid the bank will foreclose and take possession of the property covered by the mortgage. If the wife is on the deed and she consented to the mortgage the bank can foreclose. If she is on the deed and did not consent to the mortgage then the bank had a defective title and may not be able to foreclose.

If mortgage was listed by pro se Chapter 7 debtor as secured debt with intent to reaffirm but the bank never presented reaffirmation agreement can the bank foreclose once the bankruptcy is discharged?

Yes. Or the lender could choose to file for the automatic stay to be lifted and if granted proceed with foreclosure action before the BK is discharged. _________________________________________ If a person is current on the payments, and stays current, there is NO violation of the mortgage contract, and the lender would not foreclose. Miss a payment or two, and it will be treated as any other delinquent account. But until then, the status quo is maintained, the Chapter 7 not relevant.

When in bankruptcy and bank wants to foreclose on your house what can you do?

If you're officially in bankruptcy, that puts a temporary hold on foreclosure proceedings. It doesn't matter what the bank wants, by law they have to wait with all your other creditors while the bankruptcy court sorts out who's going to get paid and how much.

Can you surrender your interest in bankruptcy and if so can you then be foreclosed on?

If you voluntarilarly surrender your interest, you give up your ownership and right to possession. Your out and you don't own anything to foreclose.

If we have a Joint mortgage one dies no insurance can lender foreclose?

If two people granted the mortgage and one dies the other is responsible for paying the debt. If the debt is not paid the bank can foreclose and take possession of the property.

Who pays your home equity loan when you die?

Your estate is responsible. If the equity mortgage is not paid the bank will foreclose on the property.

How can the homestead exemption help against foreclosure in a possible Chapter 13 dismissal?

It doesn't. The homestead exemption protects property from being seized in a bankruptcy procedure or by creditor judgment. The lender does not relinquish the right to foreclose on property regardless of the status of the bankruptcy filing. Bankruptcy only temporarily halts the foreclosure of secured property.

Can creditor go after you discharged in court for a secured item?

A creditor cant take you to court over a secured debt. However, if they have a security interest in any of your property, they can still foreclose on that property.

In a bankruptcy what does it mean if a creditor filed a motion to release because you got behind on your mortgage?

The lender is requesting to be removed from the bankruptcy procedure. If the request is granted the lender can foreclose on the property or take whatever action is allowed under the laws of the state where the property is located.

You filed bankruptcy and are three months behind on your second mortgage what and what can they do?

During bankruptcy proceedings, under normal conditions ALL collection activity stops. The mortgage company may not foreclose, take action against you, nor call you to collect. Of course, there may be exceptions to this.

Can a property be assigned without court permission if a creditor in a Chapter 13 Bankruptcy decides to do something different than foreclose once a Motion for Relief from stay has been granted?


What happens when you default on your chapter 13 bankruptcy and your mortgage bank is going to foreclose?

You can either try to modify your 13 plan payments, convert to a chapter 7, or dismiss your BK.

What happens if you do not pay your property taxes while getting ready to have house foreclosed?

You will no longer be responsible. The bank will have to worry about that after they foreclose your home.