Homeowners defaulting on mortgages today may be surprised to
learn years from now that they still owe thousands of dollars – and a collection
agency is coming after them to get it.
That's because lenders
have been quietly selling second mortgages and home equity lines left
unpaid after foreclosures and short sales. The buyers: collection
agencies, which in California have up to four years to make a claim.
they win court judgments, these collectors could have years to pursue
borrowers with repayment plans, and even garnish their wages, said Scott CoBen, a Sacramento