I'm not a California attorney so I won't answer as to what happens if the lender gets a judgment. But, I will say that what your fear is about bankruptcy is probably wrong. You may lose your house to foreclosure, ultimately, if you cannot pay for it. But, bankruptcy is not likely to accelerate that process. In fact, it may delay it. If you have enough debt that you are considering bankruptcy, go talk to a bankruptcy attorney and get clear information about what property you can keep, what property you might have to give up, and exactly what will happen about your house. You may be surprised.
I am licensed only in Texas. Offering information of a general nature in response to a question is not intended to be legal advice in your state.
It kind of depends what type of hearing is coming up. It sounds like the next hearing is a motion to compel responses to interrogatories, which usually has associated with it a request for monetary sanctions. If you haven't opposed the motion, then the court will likely grant the motion and order that you respond to the interrogatories. If you fail to comply with such order, the court could issue more serious sanctions such as terminating sanctions (which effectively means you lose the lawsuit) if the plaintiff files a further motion. All of this will be several months down the line, however, so you are probably okay for now.
If the hearing is on a motion to strike your general denial, or a motion for summary judgment, then the chances of having a judgment against you are more imminent.
Unless and until the plaintiff obtains a judgment against you, the plaintiff cannot take your home, belongings, or levy on your bank accounts, or garnish wages once you are employed again.
The information presented here is general in nature and is not intended, nor should be construed, as legal advice. This posting does not create any attorney-client relationship with the author (who is only admitted to practice law in the State of California). For specific advice about your particular situation, consult your own attorney.
The worst thing LIKELY to happen is they will take money from your bank accounts. Often the collectors hit the account right after payday and that can be very damaging, as you can imagine. I have seen a collector try to foreclose on a house for a credit card judgment in San Gabriel Valley, so technically that can happen but unlikely, especially as your house is already encumbered by at least one mortgage and may not have much equity. So the risk of the credit card judgment being used to take your house -- practically nothing.
Missed payments on your mortgage are a problem and that is something that can be dealt with in bankruptcy. I think you have gotten bad information regarding bankruptcy and foreclosure. Please set up a consultation with a local bankruptcy attorney and explore your options here.
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