Response to my wife has settled-why are they pursuing me

If it's a jointly held mortgage she could not have settled without your agreement and their agreement in writing to the offer made. It would only then become a satisfied debt...which is why they are coming after you. I would suggest you talk to your estranged wife and ask to see what paperwork she has; my guess would be that she may have been misled as to the nature of her payment - i.e. they have accepted four grand off her but it still leaves the rest up for grabs. They can go back to her too, I wonder if she realises.

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