Can your property be encumbered with a lien without your knowledge? Yes, it occurs. A lien may be placed on a property as a result of a court decision or settlement, but the owner may not initially be aware of it for some reason.
Know this for those who are unfamiliar with liens: Creditors attach liens to a property’s title to say, “You owe us money.” We want it back now. The title won’t clear until the debt is paid off, so the property can’t be properly refinanced or sold.
A lawsuit is frequently used by creditors to “win their case” against a debtor. A “certificate of judgment” issued by the court to the creditor can be given to a land records office in the county where the property is located. Interestingly, you, the property owner, may or may not receive formal notice of this when it occurs! As a result, a lien exists on your property, and you won’t find out until you try to refinance or sell it.
Creditors use liens to get what they are owed. Usually, they want money. However, they may attempt to foreclose on your property in some instances.
The title to a property is acquired by the buyer. They require a concise title. If the lien has been paid off before the sale, the title is clear. So, it stands to reason that the majority of buyers would prefer the seller to settle their own debts; they do not want to take on someone else’s debts!
You can check to see if there are any liens on your property right now because most liens are public records. You should go to the county or city recordings office in your area because they should have the information you need.
Is it possible to oppose a creditor placing a lien on your property? Yes! Keep a written record of all of your correspondence with them, including emails, phone calls, and letters. Being on the lookout for such things is always a good thing. Better yet, try to pay off all of your debts on time so that creditors don’t try to make your life harder.
People frequently receive judgments against them without their knowledge, even though this shouldn’t happen. If you moved recently or did not receive the original summons in the mail, this could happen. It frequently results from a procedure known as “sewer service.” When the collector fails to properly serve you with the summons, this is known as sewer service. As a result, you never find out about the lawsuit, you don’t respond, and you lose; When your wages are being garnished, that is when you first learn about the lawsuit.
A credit report does not always reflect judgments. If you did get a summons, you can usually call the court that is listed on it to see if a judgment has been filed against you. In general, if you have received a notice of debt, the best course of action is to respond promptly and attempt to pay it off or settle. Our monitoring reports will let you know if you are being sued without your knowledge.
With any one of our subscription plans, you will be able to see if there are any judgements recorded against your home.