Discharged and HELOC

[howtoplan]

We just got our discharge at the end August. Is it normal for our HELOC on our home to not be included in bankruptcy on our credit reports? I even disputed this and the reporting agencies made no correction. We did not reaffirm our first mortgage or the HELOC. We simply plan to ride through. Our is being reported first mortgage was IIB correctly. We are current with the first and hope to settle at some time in the future with the second. we are currently 2 mos behind.

So the next question, if we technically discharged our debt as to the second mortgage. Why is the 2nd mortgage company reporting it this way and why are they calling us for payment? I realize the lien survives. We are one of the many of homeowners underwater just on the first mortgage alone.

Thanks!

[NoMoreCards]

It was my understanding that in a Chapter 7, if you keep your home you must keep up the HELOC as well. Whereas in a Chapter 13, the HELOC can be stripped.

Please be careful and discuss this with your attorney. Because it is also my understanding that if you fail to pay the HELOC, they can foreclose on you even if you are paying the 1st mortgage on time.

Doing a ride-through means keeping up the payments on both the first and second.

I am sure the experts will chime in here, but this is my understanding. I wish you the best.

[Chowder]

Doing a ride-through means keeping up the payments on both the first and second.

True. But the popular theory is, if upside down the amount of the second, or more, to call the second carriers bluff. Unlikely they will push it since they have to pay off the first to enforce their interest.

So the next question, if we technically discharged our debt as to the second mortgage. Why is the 2nd mortgage company reporting it this way and why are they calling us for payment? I realize the lien survives. We are one of the many of homeowners underwater just on the first mortgage alone.

Is the second with a different company?

[howtoplan]

yes the second is a different company

And really to make matters worse. My husband and I both just lost our jobs.

[Ann]

I also hope to settle on my second. One lawyer told us we MUST be current and stay current or like those before have said they can foreclose. I was granted a temporary modification on my second mortgage and hope that in the very end I too will be able to offer them a settlement but until that day comes the lawyer said you HAVE to stay current.