Posted by Natalie-VA on May 18, 2006 at 15:29:27:
If the sales proceeds pay off her house and her BR creditors, the rest is hers. As I mentioned earlier, she probably hasn’t got a clue how it works. I would ask her permission to speak with her attorney.
It can get complicated. For example, I had one recently where the guy’s atty had negotiated his debts down to 10k from 40k. He priced his house to pay off his mortgages plus that 10k of debt. Well, guess what…since he had been paying on his BR for less than 36 months, he had to pay the entire 40k in order to sell his house and end his BR early.
I learn more every time I do one of these. I would go for it. It’s worth the education.