Can I be evicted if I have a family with me?

So you have taken out a secured loan, but you were unable to pay or you have refused. The debt collectors have decided that the only way they are going to get their money back is to sell your property that you put up as collateral.

But you have a family, and you will not be the only person affected by this takeover of your home. If the bank takes your home and sells it, you will not be the only person homeless - your husband/wife and kids will be homeless as well. This may seem unfair. In fact, you may wonder if they can even evict you if you have a family living in the home also.

 

Can You Be Evicted?
Unfortunately, that is not the bank's concern. When you offered to provide your home as collateral for your secured loan, you did so with the understanding that if you fail to pay, the bank will own your home.

When you signed the papers, the bank didn't need to know whether you have children or grandparents living in the home, because they expect you to make the payments. There is no "family clause" otherwise they would be giving you no reason to pay back the secured loan, and your home being collateral is the reason the loan is "Secured." Otherwise they would have charged you the same interest as before after they found out you have a family.

It may seem unfair and it may seem cruel, but the reason you are able to get such a good interest rate on your loan is because they have secured it against your home, regardless of who lives there. That is the risk you take when you get a secured loan .

What Are You Going to Do?
Repossession is always a last resort by any bank or lending company. If you are getting your home repossessed, it is usually because you have refused to pay back your debts despite being asked to numerous times and warned that your home may be repossessed.

The first thing to do is to make a payment. If you pay for your loan, they have no reason to repossess your home. You can also look to the courts to see if they can stay the repossession so that you can build up some finances, and you can look talk to the lender itself, which often can make deals so that they are able to get their money. Banks don't like to sell homes because it causes them a great deal of problems as well. If you call the lender, you may be able to explain your situation and work out a deal that helps you keep your home.

 





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