I recently received a notice in the mail from a collection agency regarding a 2nd mortgage on my home. Can they foreclose on my home if it isn't the first mortgage.
The creditor may foreclose your property for non payment of debts which may include not only first mortgage, but also second mortgage and home equity lines of credit. You can negotiate with the collection agency for a loan forbearance which will help you to stop making payments towards the loan temporarily for a certain period of time. After the end of the forbearance period you will resume regular monthly payments.
Although it is very uncommon that the second mortgage holder to foreclose the property, they can do so to protect their interest on your house. I think that you should work out a repayment deal with the second mortgage holder and repay off the debt.
The creditor may foreclose your property for non payment of debts which may include not only first mortgage, but also second mortgage and home equity lines of credit. You can negotiate with the collection agency for a loan forbearance which will help you to stop making payments towards the loan temporarily for a certain period of time. After the end of the forbearance period you will resume regular monthly payments.
Although it is very uncommon that the second mortgage holder to foreclose the property, they can do so to protect their interest on your house. I think that you should work out a repayment deal with the second mortgage holder and repay off the debt.