Comments please about a 50 thousand dollar line of credit that remained open to us after we sold our house. Is this loan still secured? If so to what real estate?
Thanks

If its HELOC that had no balance, what makes you think its still open?

Not a HELOC. Bank of America line of credit on house we owned in Seattle. After selling and moving to Maine it was open and we used the money.
Boo hoo on us.
Thanks

If the line was not secured by the home then you are OK, if it was, you can be prosecuted for fraud. I would strongly suggest you get this straightened out immediately.

Like Scottgem said if it was not secured by the home you may be OK, but I can tell you this about bank of america they can and will go after you for fraud if it was secured by the home and then it will be boo hoo on you

Thanks scottgem and downunder. Yes the loan was secured by our home. After we sold the house the loan was paid off. A year later we were either contacted by Bank of America or we realized the 50 K was again available for borrowing. Unfortunately we were in between jobs here in Maine and we spent it. Awful debt I know. I never thought of it as fraud before but can now understand where I would be at fault for taking the money out. I just can't believe the loan would be open a year after the sale of the house. Is there no fault on Bank of America for leaving it open unsecured by real estate?
Confused.
Thanks
Dan in Maine

Yes there is some complicity on BOA's part for not locking down the account.

The same complicity that a person would have if they dropped their wallet then turned around and watched someone else pick it up and refuse to return it. That wallet owner can then call the police and have the person arrested for theft.

I;m curious as to how you found out the account was active and how you accessed it. But, if I were you I would pay it off real quick.

They sent us checks 2 years after we sold the house.
Thanks

If they sent you checks two years after the house was sold and you cashed them then to me that is fraud. Why in the world didn't you refuse the checks and explain that the house was sold? You had to have know that sooner or later it would catch up with you, I know everybody goes through hard times especially now but that was just wrong!

Thanks for that armchair reply downunder. Nothing is catching up with me. So best regards to you my friend. You neeed it.

No clue as to whay you are calling my answer "armchair" I was just calling it as I see it. YOU my friend are going to not only need luck but an Attorney as well because if fraud is proven... sad

Someone goofed and never closed the account. So, since it wasn't used for awhile, they sent some blank checks. But you knew the account should have been closed but you used the checks. That's fraud and they WILL catch on.

As long as you pay the bills, most likely no one will find out, the issue is, that this still attches to the property you sold, at least the bank thinks so. When they find out it is not true, they will come after you, and possible criminal charges can be possible