so creditors can't go after the property? I was only on the loan to qualify and i've been on there since 2002. My mom has been making payments. If i can what fees are associated with quit claims? Thank you
You were only on the loan to qualify - meaning you were a participant in fraud. Now you want to protect your mother from claims associated with that fraud, trying to escape from you obligation to mother's lender. Does not sound like something that would work. Your mother ought to refinance in her name alone, so you are no longer obligated. That might require a QC deed in the process. Unless she does, the trustee assigned to your case would most definitely go after mom's house. And if you do as you propose, which is a fraudulent transfer, the trustee can undo it and sell the property. Also, since the loan was obtained fraudulently, the court could declare that debt is not discharged in your chapter 7 and the lender could sue you later for its losses.
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Chapter 11 Bankruptcy Attorney
No, you cannot quitclaim unless you want to be sued.
Actual fraud or constructive fraud exists here. If Mom is making payments, why is their a lien? Your fingerprints are all over this situation notwithstanding the fact that you are looking to make a transfer to avoid paying creditors.
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Nothing you can do will relieve you of responsibility for the loan unless the lender agrees to release you, which they won't. Deeding your property to someone else with the actual intention to put it beyond the reach of your creditors is a fraudulent transfer that creditors can undo. Someone who had gotten into this situation with an honest purpose could argue that they were holding the property in trust for Mom. But if you were "only on the loan to qualify" you may have participated in the fraudulent procurement of a loan, and no judge is going to cut you any slack.
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