Foreclosed Homeowners Getting Caught Flat Footed By Subsequent Legal Actions By Lenders For Collection Of Unpaid 2nd Mortgage Loans

The Wall Street Journal reports:

• After losing her condo in San Diego to foreclosure last year, Charissa Kolich thought that at least she was free of mortgage bills. But Wells Fargo & Co., which holds a home-equity loan made five years ago to Ms. Kolich, last month filed a lawsuit against her in the Superior Court of California, San Diego County, seeking to collect the nearly $72,000 it said she still owed on that second mortgage. "This was all kind of a shock," says Ms. Kolich, a food-service administrator recently diagnosed with inoperable brain cancer.

For more, see Second Mortgages Vex Borrowers.