Posted on: 25th Jan, 2011 05:07 pm
we filed a chapter 7 the later part of 2010 our first was reaffirmed and a modification is in the works but the second mortgage was discharged and not reaffirmed. i've been paying the second even though they have made it very clear that it does not show on my credit report as paying but as discharged. what happens if i stop paying on my second could we lose our home even though we are current on the first???
in desperate need of advise
in desperate need of advise
Welcome dsmith,
If you stop paying off the second loan, the lender will have the rights to foreclose the property so that they can recover their dues. However, in order to do so, the second lender will have to pay off the dues of the first lender as well. Thus, there are high chances that the second lender won't foreclose the property.
If you stop paying off the second loan, the lender will have the rights to foreclose the property so that they can recover their dues. However, in order to do so, the second lender will have to pay off the dues of the first lender as well. Thus, there are high chances that the second lender won't foreclose the property.