Credit:
| A rising number of
borrowers are learning that they can be on the hook for years after
losing their homes. Lenders are exercising their rights to pursue unpaid mortgage balances. One defaulter said, "The big dogs get a bailout, and the little man gets no mercy." The Federal Deposit Insurance Corp. tracks the amount banks collect after defaulted loans were written off. These mortgage recoveries rose 48 per cent to a record $1.01 billion in the first nine months of last year. One expert said, "The banks have been too underwater with foreclosures to spend much time on deficiency judgments, but that's beginning to change. This is going to be the next big crisis." |