I am setting up a corp to channel all my wages through it. In case I forfeit on my current mortgage, would the mortgage lender be able to run after my wages that I channel through my corp? Other than getting a low credit score on my SSN, is there any other repercussions to forfeiting on a mortgage?
Wages in Texas cannot be garnished except for child support. The stock in your new corporation, however, is non-exempt property that could be seized to pay a judgment. So, setting up a corp to "channel" all your wages may make you worse off.
Defaulting on your mortgage will impact your credit score, may make it difficult to get a mortgage in the future, and may result in a judgment against you for any outstanding balance on the mortgage.
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