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Is distributed inheritance from a deceased cosigner's estate subject to creditor action when the primary borrower cannot make the loan payments?
Wiki User
∙ 17y ago
The bank can go after the granddaughter for repayment. * Monies belonging to any persons other than the primary borrower would not be subject to creditor attachment. If the primary borrower received monies from the estate, that would be viewed as an asset if the creditor decided to file suit to recover the debt owed.
Wiki User
∙ 17y ago
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Can a creditor garnish both the borrower and the co borrower?
Yes. Both are equally responsible for paying off the debt.
How do you file for a judgment for an unpaid promissory note?
The creditor (holder of the note) would need to file a lawsuit in the court of jurisdiction where the debtor(borrower) resides. If the creditor prevails in the suit a judgment will be entered against the borrower. The creditor can then execute the judgment in accordance with the laws of the debtor's state.
Are a primary borrower and a secondary borrower on a car loan equally responsible for the loan?
Yes, the cosigner/co-borrower has the same legal responsibility to repay the debt/loan as does the primary borrower. If the primary defaults the creditor can attempt to collect from the co-borrower before the primary borrower.
Can inheritance be subjuect to judgment?
Yes. If a creditor discovers that you have an inheritance it can try to attach it before it is distributed to you. There are companies that hire people to go into probate courts and monitor new probate filings. They are building a data base to which access can be purchased by creditors. Fortunately for some people, that new tool has not been initiated in all areas.
What happens to your cosigner if the borrower defaults on private loans?
The creditor wil try to get the debt from the cosigner as well.
If money was loaned in Michigan and the person lives in Ohio where do you sue?
In most instances the creditor/lender must sue the borrower/debtor in the state court in the county in which the borrower resides.
What does secured loan?
A secured loan is a loan in which the borrower declares an asset (e.g. a car or property) as collateral for the loan, which then becomes a secured debt owed to the creditor who issues the loan. The debt is thus secured against the collateral - in the event that the borrower defaults on the loan, the creditor takes possession of the asset used as collateral and may sell it to satisfy the debt by regaining the amount originally lent to the borrower.
What does secure loans mean?
A secured loan is a loan in which the borrower declares an asset (e.g. a car or property) as collateral for the loan, which then becomes a secured debt owed to the creditor who issues the loan. The debt is thus secured against the collateral - in the event that the borrower defaults on the loan, the creditor takes possession of the asset used as collateral and may sell it to satisfy the debt by regaining the amount originally lent to the borrower.
Can borrower and cosigner checks get garnished at the same time?
No, the law allows for only one garnishment action by a creditor to be in force.
What is an inter creditor agreement?
An agreement beteen two creditors agreeing in advance how their competing interests in their common borrower will be dealt with.
Who is responsible for School debt after death?
The borrower, i.e., the person who signed the note, is responsible for payment. If the borrower has died their estate is responsible. If there is no estate the creditor is out of luck. If there was a co-signer then they will be held responsible for paying the debt.
What happens if you do not accept what was left to you in a will?
It is legally called a "disclaimer" and it means you do not have any legal possession of it, it cannot be seized from you, it remains part of the estate and it can be distributed to others by the estate. This is sometimes used when an heir has a debt that would completely consume the inheritance, so it is disclaimed rather than be forfeited to the creditor.
