Legal Question in Credit and Debt Law in Tennessee

The most obvious effect would be the negative report to credit reporting agencies as to your having defaulted on a financial obligation. In addition, the mortgage company will most likely sell the home for whatever it can obtain at which time you would be responsible for the deficiency. The deficiency would be the difference between the payoff on your mortgage and the net sale proceeds. To enforce its right, the mortgage company would be able to sue you for this deficiency and then proceed to have execution issue in the form of a garnishment against your salary or a levy against other assets such as furniture, electronic appliances, financial institution accounts, etc.