Home Equity Line Of Credit
After selling a property in May of 2000 and paying off the home equity line of credit I received the original loan agreement that I signed with PAID stamped on it. After a few months I started getting monthly statements for this account showing a zero balance and credit available. I continued receiving these statements month after month. The property that was securing the credit line has since been sold at least twice after I sold it so I am sure that the title has been search without any liens recorded from the origanal lender. Five years have passed and I have tapped into the credit line a few times. My question is this: If I have original document stamped with PAID and I have not signed any other promise to pay doc, how can the lender recover any outstanding balances if I decide not to pay ?
Not to say I would do that, I am just wondering what the legal issues are at this point. 8-)
You have knowing and willfully committed credit fraud; yes they can collect from you through prosecution.
Interesting set of ethics.
[addsig]
Does anyway have any advice?
I formed an LLC before I bought my first rehab. The deed for the house is in the name of the LLC. There is a liability advantage there. However, you will need a personal guarantee for any loans/credit lines.