Jump to content
United Army

Stopping My Mortgage Payment

Recommended Posts

Just wondering if anyone who lives here in the Philippines or had lived here and was  paying a mortgage on their house, stopped paying it?  If anyone has, what did the bank do?

 

I'm just looking for info in the Philippines and not what happens in other countires.

Share this post


Link to post
Share on other sites

I have not had it happen to me but a close friend was in the mortgage lending business.  When people did not pay he would foreclose on the land, get title and sell it for whatever he wanted, and pocket any profit.  From what I can see of banks here they seem to do the same.

  • Like 2

Share this post


Link to post
Share on other sites

If you look on the bank sites they have lots of foreclosed properties for sale

  • Like 1

Share this post


Link to post
Share on other sites

If you look on the bank sites they have lots of foreclosed properties for sale

Well ok, but that is not what I'm asking. 

 

What does a bank  here in the Philippines do when you do not pay your mortgage?  Do they go after you bank accounts?  Garnish  your Pay??

  • Like 1

Share this post


Link to post
Share on other sites

If you don't pay your mortgage, they will take possession of the property, The same as other countries.

  • Like 1

Share this post


Link to post
Share on other sites

What does a bank  here in the Philippines do when you do not pay your mortgage?  Do they go after you bank accounts?  Garnish  your Pay??

 

I somehow doubt if many will have experience with this but either way I doubt if any bank could go after a bank account or have the right to garnish anyones pay. If you have access to the loan contract it would be worth reading to see if you can find your answer.

From what I have read over the years the procedure would be the same as most countries where the property will be repossessed and sold. I am only speaking of what I believe is true and with no experience either.

 

you'll have to do your best to come up with the money. if not, they do have the right foreclose after the 5 month period.,  http://www.pinoylawyer.org/t3946-what-will-happen-if-i-fail-to-pay-hl-loan-monthly-mortgage-and-what-is-the-remedy-to-avoid-foreclosure

  • Like 3

Share this post


Link to post
Share on other sites

Just wondering if anyone who lives here in the Philippines or had lived here and was paying a mortgage on their house, stopped paying it? If anyone has, what did the bank do?

I'm just looking for info in the Philippines and not what happens in other countires.

I did a little research on this and found that usually, if payments have not been made for 5 consecutive months, the bank has the right to foreclose on the property. This can be confirmed or clarified if you look on the back of your mortgage paperwork. Something you can try is to talk to the bank if you expect to be able to start making payments again in the near future. Some will, some won't. Of the many articles I found on-line, this one was probably the most simple and clear - you can find it here:

http://www.manilatimes.net/index.php/dear-pao/20907-property-mortgage-secures-debt-payment

A more complete description on mortgage foreclosure is available here:

http://www.batasnatin.com/law-library/civil-law/obligations-and-contracts/823-foreclosure-of-mortgage-redemption.html

Hopes this helps.

Edited by I am bob
minor correction - does not affect information given
  • Like 2

Share this post


Link to post
Share on other sites

If you look on the bank sites they have lots of foreclosed properties for sale

Well ok, but that is not what I'm asking. 

 

What does a bank  here in the Philippines do when you do not pay your mortgage?  Do they go after you bank accounts?  Garnish  your Pay??

 

It should be just the house and property.  If the house sells and does not bring in enough to pay the mortgage off, the mortgagee can take you to court to get the rest of it.  If you have no or limited income, they know they won't get very far.  You can read about this on the second link I provided above.  If it is a small amount, they often don't do so as lawyers must be involved in this and it will probably end up costing them more than they can recover.  It will all depend on how much is left owing after.  If the bank gets to know you and also know that you are upset and humble about having to go through foreclosure, they may just walk away after the sale of the property.  Also, if the property sells for more than you owe, the bank has to give you any excess monies.  That is the law in the Philippines.

  • Like 1

Share this post


Link to post
Share on other sites

Also, if the property sells for more than you owe, the bank has to give you any excess monies.  That is the law in the Philippines.

 

:hystery:   Maybe.

  • Like 2

Share this post


Link to post
Share on other sites

Also, if the property sells for more than you owe, the bank has to give you any excess monies.  That is the law in the Philippines.

 

:hystery:   Maybe.

Well. It's the law,

but you are corect it isn't sure they will follow the law  :)

  • Like 1

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

×