Q: A Notice of Default on our home equity loan (2nd loan) for our primary residence.

A: Addressing a default on a home equity loan, particularly one with the complexities you've described, involves understanding several legal principles.

The lender can foreclose on the deed of trust within 10 years after maturity if the recorded deed of trust recites a maturity date, and 60 years after recording if it does not. It is possible to make an argument that the delay in enforcement may bar the collection of some of the debt. From a foreclosure perspective, modification discussions would not "restart" any foreclosure timeline unless the loan terms are formally altered.

Although second mortgage servicers might not be obliged under the same rules as first mortgages regarding Qualified Written Requests (QWRs), you can still request information under the Fair Debt Collection Practices Act (FDCPA) or general consumer protection laws if the servicer is acting as a debt collector.

Schedule a free consultation to make sure your mother's property is protected.

A: JLA posts hundreds of artificial intelligence responses weekly in forms such as this. It is unlikely JLA even read your post. Although I can't vouche for the other attorney, give his response significantly more weight. I am not sure why Justia allows JLA's responses.

A: It sounds like you are facing a complex situation with your home equity loan. In California, the statute of limitations for written contracts, such as a home equity loan, is generally four years from the date of the last payment. However, because a Notice of Default was filed, the lender has already begun foreclosure proceedings, which may pause or change how the statute of limitations is applied. You may want to seek legal advice to clarify how this applies to your specific case.

If you reach out to the lender for a modification, it's possible that doing so could reset the statute of limitations. Be cautious and make sure you understand the implications before taking any action. Requesting a modification could be seen as acknowledging the debt, which might give the lender more time to pursue collection.

While a Qualified Written Request may not be required for second mortgage servicers, you can still send a request for information or a debt validation letter. These can compel the servicer to provide documentation regarding payment history, assignments, and other important details about the loan. It's important to gather all relevant information to understand your options moving forward.