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dominate513

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What does collection/charge off mean on a Home Equity line of credit
House was sold after foreclosed on for more than what we owed on it. Mortgage and line of credit was through the same lender. What happens to the line of credit?

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Answer to your first question is: Collection Charged Off means that you didn't pay it.

As to what happens to the line of credit, if they got more out of the house than what you owed, then they would most likely apply the remaining money toward your line of credit debt then you would be on the hook for the rest. If the house sold for more than what you owed on the house and the line of credit and there was remaining money left, I would consult with an attorney in your state to see if that money belongs to you, I would say that it would.

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