If your going through a foreclosure...?

Question

can the mortgage bank go into your bank accounts and take the little bit of money you have saved? Would it be wise to take the money out?

Answer 1

Absolutely not.  

Answer 2

No, it doesn't work that way.  Here are the rules.

If you have the original loan that you used to purchase the house; they can take the house but they can't take anything else. Not a penny of your money.  

If you refinanced or added a 2nd loan, the rules change.  They can take the house.  If they lose money (they will), they have the legal right to go to court and get a judgement for the missing money.  Then they could "execute" the judgement and go after your bank account.  That would be in 18 months.   THey seldom do this because it takes so long and you are not rich.  But they have the right to. /