Medicaid shouldn't seek recovery in this case. With a surviving spouse, there is no recovery. Now not paying your mortgage is another thing entirely, why did you stop? Yes, the bank can foreclose on the house since you are not paying the mortgage.
Medicaid doesn't "take" a house. They can file a lien that has to be paid after your husband passes away. However, the Bank can begin a process of foreclosure, eventually evict you for non-payment, and sell the house to satisfy the debt. You need to find an attorney familiar with Medicaid to see what your options are - FAST.
BHarty, did you not file for a waiver from Medicaid of all hubs income (like his SS, retirement) to cover your costs to live in the community? It’s called CSRA, community spouse resource allowance. Are you getting CSRA?
If he’s on Medicaid in a facility there should be no out of pocket for his care.
Foreclosure will have tax issues for both of you that will HAVE to Be dealt with for 2018 so his Medicaid stays eligible. Foreclosure causes 1099-c issued for whatever mortgage holder wrote off.
Bharty, contact the bank TODAY: start with your local branch and ask them to elevate the issue to the home lending section. Ask for a meeting ASAP; take an itemized list of your expenditures, and raise the issue of a mortgage restructuring (also sometimes called a "workout") to extend the loan so that you can make lower payments over a longer period of time.
It's been years since I've worked on residential loan foreclosures, but if I remember correctly, there's a specific time by which payments need to be made or foreclosure can be instituted. I don't recall how many days, but I don't think it's more than 3 months.
You should receive a default notice, with a time by which payments must be reinstituted and arrearages paid, or alternate payment arrangements must be made. Depending on the loan documents and terms, and depending on your state's statutory requirements, you could lose the house in a matter of months.
So your mortgage may already be in default. Have you received any notices of potential foreclosure? If you don't make arrangements, you WILL lose the house, as GSA cautions.
Then, where will you go? Where will you live?
There are other options besides foreclosure. You could give the lender a Deed in Lieu of Foreclosure, which avoids foreclosure but extinguishes your rights in the home, so you'll still be facing the question of where to live and how to pay for those living quarters.
BTW, are you and your husband on Medicare as well? Some of the medical costs you describe would be paid for by Medicare and shouldn't be out of pocket. Or they might be paid by Medicaid.
It would be wise to contact your Medicaid rep and address the issue of the now extended medical costs that won't need to be out of pocket.
I stopped paying the mortgage because, there was the mortgage, vehicle payments, health ins, car ins, doctor bills for him and me, perscriptions ct scans ultra sounds, incontinence supplies for him and very little left for food. that is why he was put on Medicaid.
I know you must feel overwhelmed but the one thing my Mom alsways taught me was to pay the mortgage before anything else. I am not a lawyer but if you could even send them something it might stave off a foreclosure while you meet with a Medicaid expert who can give you better advise and get your finances squared away.
However, the Bank can begin a process of foreclosure, eventually evict you for non-payment, and sell the house to satisfy the debt. You need to find an attorney familiar with Medicaid to see what your options are - FAST.
If he’s on Medicaid in a facility there should be no out of pocket for his care.
Foreclosure will have tax issues for both of you that will HAVE to Be dealt with
for 2018 so his Medicaid stays eligible. Foreclosure causes 1099-c issued for whatever mortgage holder wrote off.
It's been years since I've worked on residential loan foreclosures, but if I remember correctly, there's a specific time by which payments need to be made or foreclosure can be instituted. I don't recall how many days, but I don't think it's more than 3 months.
You should receive a default notice, with a time by which payments must be reinstituted and arrearages paid, or alternate payment arrangements must be made. Depending on the loan documents and terms, and depending on your state's statutory requirements, you could lose the house in a matter of months.
So your mortgage may already be in default. Have you received any notices of potential foreclosure? If you don't make arrangements, you WILL lose the house, as GSA cautions.
Then, where will you go? Where will you live?
There are other options besides foreclosure. You could give the lender a Deed in Lieu of Foreclosure, which avoids foreclosure but extinguishes your rights in the home, so you'll still be facing the question of where to live and how to pay for those living quarters.
BTW, are you and your husband on Medicare as well? Some of the medical costs you describe would be paid for by Medicare and shouldn't be out of pocket. Or they might be paid by Medicaid.
It would be wise to contact your Medicaid rep and address the issue of the now extended medical costs that won't need to be out of pocket.