NEWSKim Zolciak and Estranged Husband Kroy Biermann Hit With New Lawsuit Over $213K Home Equity Debt
The debt keeps stacking up for Kim Zolciak and Kroy Biermann.
According to court documents obtained by Radar, Simmons Bank filed a civil lawsuit against the soon-to-be-divorced couple after they failed to make payments on a $300K Home Equity Line of Credit — with an original maturity date of December 2016.
Per legal papers, in August 2017, Zolciak and Biermann executed a modification agreement that extended the maturity date of the credit line to December 2017. In 2018, a second modification was issued where The Real Housewives of Atlanta stars signed off on $271,788.61 being the remaining balance owed.
According to the bank, the estranged pair agreed to make monthly payments of $1,132.46, with the first installment due on February 24, 2018, and the final payment due on January 24, 2038. However, Simmons says Zolciak and Biermann defaulted under the terms of the agreement, with the last payment being received on October 28, 2022, and they have not shelled out any money since.
The reality star and the former NFL player were notified on May 19, 2023. Due to her failure to stick to the terms, the bank wants them to hand over the entire balance owed on the note. As of April 1, 2023, Simmons stated that the defendants now owe $213K plus interest of $1,700.
The new financial debacle comes as the IRS slapped Zolciak and Biermann with a massive tax lien earlier this year. According to the report, the two owe $103,564.48 for 2013, $330,126.29 for 2017, and $714,143.90 for 2018. The total was listed as $1,147,834.67.
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Kroy Biermann is sticking to his plan to divorce Kim Zolciak.
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The mounting money problems were the kicker for Zolciak and Biermann's decision to split. As OK! previously reported, both parties filed for divorce in May after 11 years of marriage.
"The money has been a huge issue," a source explained the end of their romance. "The million-dollar tax [payment] was just too much pressure on them."
