- Home
- Bankruptcy and Bankruptcy Code
- Business Entities
- Departmental Operations
- Credit Practices
- Fair Debt Collection Practices Act
- Financial Analysis
- Financing Methods
- International Credit and Collections
- Laws and Regulations
- Payment Methods
- Alternative Dispute Resolution
- Alternative Dispute Resolution
- Pre-Judgment Attachments
- Automated Clearing House System
- Barter; and Barter as a Method to Pay for Goods and Services
- Post-Dated Checks
- Checks By Fax
- Using Collateral to Secure Accounts Receivable.
- Credit Card Payments
- Deferred Payment Letters of Credit and Drafts
- The Federal District Court System, and the U.S. Bankruptcy Courts
- Electronic Funds Transfers & Wire Transfers
- Escrow; Escrow Agreement
- To Execute
- Foreclosure
- Garnishments
- Guarantees
- Levies
- Mediation
- Security Instruments
- Career Management, and Job Change
- Credit Website Tools
- Upcoming Events
- Credit and Collections Tools and Tips
- Tips on Creating Better Emails
- Generating Effective Correspondence
- Exporting
- Accounting
- New Years Resolutions
- Buy America Act
- Creating a World Class Credit Organization
Foreclosure
Foreclosure involves the termination of all rights of a mortgagor or grantee in the property covered by a mortgage. Statutory foreclosure is effected without recourse to courts but must conform to laws (statutes). Strict foresure forever bars equity of redemption (the right of a mortgagor to "cure" his or her default by making delinquent payments). The foreclosed property may be sold to satisfy a debt. If a foreclosure sale fails to repay the debt, the creditor may obtain a deficiency judgment (judgment for an amount not covered by the value of security put up for a loan).
A secured lender may pursue judicial foreclosure in any court with jurisdiction over the parties. Generally, foreclosures of security interests governed under Article 9 of the Uniform Commercial Code take place in state court unless the government is a party.
Source: "Manual of Credit and Commercial Laws," edited by Charles M. Tatelbaum and John K. Pearson, available at the NACM Bookstore.