Foreclosure Deficiency Settlement


Despite what many borrowers believe, most foreclosures do not result in a judgment against the borrower personally. There are several steps that a bank must take in order to obtain a deficiency judgment against a borrower. An evidentiary hearing must take place to determine the amount of the deficiency, and in order to proceed, it must be shown that the value of the sale is less than what the borrower owed. Despite the complexities of the process, some banks do proceed in pursuing deficiency judgments against borrowers.

If a lender is seeking to collect outstanding loan debt after a foreclosure sale, you may have legal options. An experienced foreclosure attorney can help you explore options that would allow you to defend the deficiency and negotiate a favorable settlement with the bank.

The Law Offices of Kassab Arabo, PLLC, represents clients throughout southeast Michigan in foreclosure deficiency settlement-related legal matters. If your bank is pursuing a deficiency judgment against you, we can help you understand which option is right for you to protect your assets. A few options may include Chapter 13 bankruptcyloan modificationshort sale, or negotiating directly with the bank. However, we will better be able to assist you once we learn about your specific circumstances.


Don’t stand by while your bank is suing you for a deficiency judgment. Contact The Law Offices of Kassab Arabo, PLLC today at 248-686-1822 to discuss your options with a lawyer. We offer a free initial office consultation. Our office hours are 8 a.m. to 5 p.m. on Monday through Friday, and evenings and weekends by appointment. Our firm is in West Bloomfield, Michigan, and we serve clients throughout southeast Michigan.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.

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