Ljj, cover you situation, and confirm the following with a TAX LAWYER/ADVISOR IMMEDIATELY:
My understanding, regarding in terms of a deficiency judgment after foreclosure, is that the bank may be able to go after personal assets. However, retirement funds are generally protected. Retirement savings in an IRA or through work in a 401(k), 403(b), or similar program, are protected from seizure. However, "retirement funds â€œinvestedâ€ in non-IRS sanctioned savings plans are at risk. This is because specifically designated retirement accounts are protected from creditors, while assets simply invested in for the purpose of saving for retirement without the special designation are not protected.