Legal Question in Credit and Debt Law in New York

Re: Personal loan

More information is needed. Specifically, 1. The exact individual or entity that signed the promissory note. 2. Whether your friend obtained a judgment. 3. Exactly who is in title to your house. 4. How much equity (fair market value less mortgage) is in your house.

When you send me answers to the above I can give you a better answer.

Mike.

Re: Personal loan

To place a lien against your house your friend would have first had to sue you and obtain a judgment. If the judgment was filed in Supreme Court it would be a lien against your house. To enforce the lien your friend would have to commence a special proceeding to have the court authorize the sale of your home to satisfy (pay off) the judgment lien. Many factors will come into play...are you the sole title holder to the house? If you own it jointly with your wife (if you are married, your wife's interest in the home would keep it from being sold)...if you don't have more than $20,000 in equity in the house Federal Bankruptcy laws would protect you further. You need to provide answers to these questions in order to have a complete response. You can also make an arrangement to pay off the debt in installments, you can get another loan that would allow you to pay down the judgment.