Liable for second mortgage after foreclosure?

Georgia

I just had my house foreclosed. I owed $107,000 on the first mortgage, and the house sold for $113,000 at the courthouse.

I had a second mortgage on the house for $40,000 with a different bank. This second bank failed to show up at the foreclosure sale. They now want their money from me.

Am I still liable to this second bank even though the second bank had an opportunity to show up at the foreclosure sale to protect their interest but failed to do so?

Thank you.

Yes.



[email]JASON@LEGISLATOR.COM[/email]

[Ladynred]

I'm now in TN.
I had to let the house in SC go in 2001 (had it 11 years) because it would not sell after I'd moved to TN. It took the 1st mortgagor over 8 months to sell the thing at auction, it finally sold in Dec. 2001. Now I get a notice from the 2nd mortgage (home equity loan) company that they now want payments on the $30K or a settlement.. so YES, they can do it.

It appears in my case as well that the 2nd mortgage bank made no attempt to lay any claims to the money when the house sold. What I owed was only 63K, it sold for 80K, but the amount shown on the order of sale said 76K owed instead of the 63K. The first bank just pumped in so much interest and fees that it bloated everything.

Not much I can do.. I was laid off on 2/1 and I'm seriously considering filing for bankruptcy.