When I filed for bankruptcy in 2010 I included my mortgage. I continued to pay on the mortgage until 01/2012. I applied for home modification and then was told my loan was sold to another mortgage company. The new mortgage company began foreclosure procedures and so I moved out. I signed over the deed of trust which now shows it as a foreclosure. My credit shows the house loan to be included under the bankruptcy but the deed of trust shows foreclosure on the county records.
Social Security Lawyers
When you obtained the mortgage, you signed two documents, and gave your mortgagee two ways to collect. One was a Promissory Note. Your personal liability on the Note was most likely discharged in your bankruptcy. The second was a Deed of Trust, which amounts to a voluntary lien on the property. That lien survives bankruptcy, and it is that lien that was foreclosed, establishing title in the mortgagee and divesting you of any interest in the property.
Best wishes for an outcome you can understand, and please remember to designate a best answer.
This answer is offered as a public service for general information only and may not be relied upon as legal advice.
You are asking about two different things. Even if you got a discharge of the debt, the lien remained. You didn't get to keep the house for free. The lender foreclosed. From your post (all the info we have), and assuming the lender took the proper steps, your credit report correctly reflect the discharge and the county records properly reflect a foreclosure.
My colleagues have provided you with solid information. From your post, it seems as though the information is correct.
** LEGAL DISCLAIMER ** My response above is not legal advice and it does not establish an attoreny-client relationship. When responding to questions posted on Avvo, I provide a general purpose response based on California law as I am licensed in California. In reviewing my response, you are specifically advised that your use of, or reliance upon any response I provide is not advisable. I do not have all relevant background details or facts related to your issue / matter, thus I am not in a position to give you legal advice. Further, your review, use of, or reliance upon my response does not establish an attorney-client relationship between us nor does it qualify as a legal consultation for any purpose. For specific advice regarding your particular circumstances, you should consult and retain local counsel. Law Offices of Eric J. Gold www.EGoldLaw.com Telephone: 818-279-2737 Email: firstname.lastname@example.org
Divorce / Separation Lawyer
Ms. Sinclair has provided an excellent answer, as she always does. Your liability for the debt was discharged, but the Deed of Trust still existed, and the lender still took against that.
However, there is a part of your question that isn't quite clear. You spoke of "signing over the deed of trust." If you did some kind of a deed in lieu of foreclosure, and if you were promised that doing so would avoid the foreclosure, then you probably need to contact your bankruptcy attorney to follow up.
This advice is based upon limited and hypothetical circumstances. For an answer that is specific to your situation, please consult an attorney. The answering of this question does not create an attorney/client relationship, and the poster should seek additional information from qualified legal counsel. Many attorneys, like ours, offer no-cost consultations.