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When you file Chapter 7 and surrender your home are the judgment and liens removed from home for next owner if they were in Chapter 7?
Wiki User
∙ 20y ago
You have asked a complicated question. State laws differ somewhat in terms of bankruptcy. Bankruptcy law is federal, but utilizes state laws for certain aspects so you should check to see which rules your state follows.
Briefly and generally, a trustee in bankruptcy can abandon property if it has no equity or is difficult to sell. If the trustee is doing their job properly she/he will file a Notice of Abandonment in the land records to notify creditors of the intent not to sell the property. That gives the property back to the debtor and any other creditor that may have an interest in the property. A lender can proceed with a foreclosure for a mortgage in default. In that case, the foreclosure would wipe out any creditors that came after the lender as to that property only. Abandonment does not wipe out liens. However, property is only abandoned if it has little or no value. Also, a properly conducted foreclosure will pass legal title to the bank or the buyer.
On the other hand, if you mean your trustee in bankruptcy has possession of your real estate the procedure is different. A trustee in bankruptcy can petition the court for leave to sell the real estate free and clear of liens if the sale will bring funds into the bankruptcy estate to distribute to creditors. If allowed, this procedure will enable the trustee to convey legal title to the premises and the buyer takes the property free of liens.
Wiki User
∙ 8y ago
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When and how are judgment liens removed?
they are removed by the act of filing a satisfaction of judgment with the county clerks office
Is a statutory lien an involuntary lien?
Yes. Statutory liens include tax liens, mechanic's liens, judgment liens, etc.
How do you remove liens or judgments once your chapter 13 is discharged?
You cannot have liens or judgments removed unless you write the credit bureaus and give them a copy of your discharged bankruptcy. Some liens and judgments will not need to be paid but will still remain on your credit report.
Can you file chapter 7 bankruptcy if you owe on a timeshare?
Yea, you can. You must list it as an asset, minus any liens, including a purchase-money loan. you can surrender it or reaffirm the debt.
Are Florida homes subject to judgment liens?
Yes.
If you have an existing judgment lien which has been abstracted can the lien attach to property which you will buy in the future?
yes, because the majority of judgments and liens attach to the person, not necessarily the land; however the liens do attach to any land owned by the person ==Clarification== Not all jurisdictions recognize priority of recorded judgment liens as to after-acquired property. In Massachusetts recorded federal and state tax liens affect after-acquired property, judgment liens do not.
How many civil judgment liens can be placed on a piece of property?
There is no limit to the number of liens that can be recorded.There is no limit to the number of liens that can be recorded.There is no limit to the number of liens that can be recorded.There is no limit to the number of liens that can be recorded.
If you have a judgment of a lien and filing chapter 13 should it be removed?
Perhaps, many judgments can be discharged in bankruptcy. The ones which are allowable are determined by state and/or federal laws, depending on the type of bankruptcy chosen. Understanding that if it gets removed it is because it was included and settled/discharged as part of the BK, generally by using the asset it is secured to, ot other assets...it isn't just file BK and the lien/debt goes away.
Can one property have more than one lien against it?
The liens must be paid before the property can be transferred.The liens must be paid before the property can be transferred.The liens must be paid before the property can be transferred.The liens must be paid before the property can be transferred.
Who satisfies liens on foreclosed property?
The person responsible for the liens must satisfy the liens. When a home is foreclosed on, the liens are removed before the next buyer purchases the home.
What is the difference between a lien and a judgement?
A judgment is a decision made by the courts in a civil suit. A successful plaintiff must enforce and collect upon the judgment. If the defendant doesn't voluntarily pay the judgment, the plaintiff can request a judgement lien.The judgment lien must be appropriately filed in order for the creditor to secure their position to collect the debt. It can be: served on a bank to freeze a bank account; recorded in the land records to seize real property; used by the sheriff to seize personal property; etc.A judgment lien is a TYPE of involuntary lien. There are many different types of voluntary and involuntary liens such as: mortgages; income tax liens; property tax liens; liens for municipal services; mechanic's liens; child support liens; and, judgment liens.
How long does a bad debt stay on your record?
Negative credit information remains on a credit report for seven (7) years from the time it is reported. Chapter 7 bankruptcy remains for ten (10) years from the time of discharge or reportage to the credit bureaus. In some cases judgment liens they also expire after 7 years unless/until the lien holder renews the judgment. If a judgment is renewed, most can be, it can be reentered on the judgment debtor's CR and will remain until satisfied or the time once again expires. This is only one example of why judgment liens are so damaging for the judgment debtor.
