Lien On House
In 1991 I borrowed 125K for my business and used my house as colateral. I was making weerkly payments and about a year later I sold my business. The person that I sold the business to payed off the loan at closing. I am now selling me house and it still has the lien from the loan. I contacted the attorney for the person that bought my business and he said it was up to the attorney of the company that issued the loan to remove the lien, and he only keeps records for 7 yrs. The loan company is taking the position the the loan is still owed, even thou no weekly payment has been made since 1992 when the business was sold. Is there a statue of limitation on liens, and the repayment agreement calls for weekly repayments or face foreclosure?
no, the lien sits out there forever.
Questions,
1) what evidence do you have that the loan was paid off? Do you have the closing statement from when you sold?
2) Assuming the loan was paid the lender should have filed a release of lien. Their failure to do so is subject to penalties. You need to file a suit to quiet title.
[ Edited by commercialking on Date 01/23/2005 ]
reyc1969
Was the closing done by a title company? If so I would as has been suggested get a copy of the closing statement.
If not what state are we talking about?
In addition, what type of lien document was used?
[addsig]