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lien on house

Hello, my husband lost his job last october. This january he started work again. We are having a hard time keeping up with all our bills to say the least. We have three children under the age of 5, so we have had to make decisions conerning which bills need to be paid. One bill we have not been able to keep up with is our monthly strata fee of $103. Now we have an overdue balance of around $400, and they say they will be putting a lien on our house. We have been making some payments but not the full amount. We do not pay any interest on these fees as well.
My question is what does this lien on our house mean?

Posted from: British Columbia

One Response to “lien on house”

Barton Goth – Goth & Company Inc. -Trustee in Bankruptcy said...

A lien is security for the holder against a debtor’s assets, usually arising by operation of law rather than express contract between the parties.

This means that if you do not pay your bills your creditors can register a lien against certain assets that will attach itself to those assets. Therefore if the property is ever sold the lien will have to be paid out of the proceeds of the property.

This is a normal collection tool your creditors have once they have successfully obtained a judgment from court. However this is a tool that expires if you file a bankruptcy or a consumer proposal.