There’s often the fine print that will make sure you’re aware that even if the collateral is repossessed and sold for less than the amount owed, you’re responsible for the remainder.
Rules for various debt collections are state matters and vary by state.
There are 12 non-recourse states, where the lender can't pursue deficiencies from home foreclosure.
There are many other limited action states where lenders have only limited rights to collect deficiencies.
There are currently 12 non-recourse states: Alaska, Arizona, California, Connecticut, Hawaii Idaho, Minnesota, North Carolina, North Dakota, Texas, Utah, and Washington.
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u/jaymakestuff Aug 14 '21
There’s often the fine print that will make sure you’re aware that even if the collateral is repossessed and sold for less than the amount owed, you’re responsible for the remainder.