what to do about my 2nd mortgage?

[justbroke]

There is no telling what a HELOC 2nd will do. Again, they can just sue on the promissory note which is probably a better strategy for the lender given that this is only a $12K HELOC.

If you don't have any equity in the property beyond the first mortgage or record, and the 2nd (HELOC) was discharged in the bankruptcy, you could approach the HELOC lender for a settlement of say 5% - 10% of the balance. There are some discharged debtors that have been successful in that approach. Of course, you may need to stop actually paying it, otherwise they will figure that you have the money to keep paying, so why settle.

[Medport]

In my case, the 1st was reaffirmed, but I can't remember what the attorney said about the 2nd since it was about years ago. I believe he said to just keep paying on it and possibly refinance it when it came do? I stopped getting statements after I filed and they said to keep sending payments in. I've usually only paid $50-100 a month and I know the interest only is about $38 so I'm sure the balance is around 12k or so. My draw period ended in Dec. 2013 I believe if you go by 10 years since I took out the loan so I think the balance should be due unless the bk changed that? This was the first month I didn't send a payment in as finances are tough at the moment. Any idea what I should do? I'm debating between calling them, just sending a payment or do nothing and see what happens. I would hate to have them try to foreclose as I've remained current on my first (although its a struggle sometimes) and I only have about 15 years on my 30 year mortgage left. I inquired on my current 1st about refinancing and they said I would most likely have to wait 4 years post bk to be approved by them, but haven't tried other lenders yet. I know my debt-to-income will be pushing it to due to my student loans and car payment. Any advice?

[justbroke]

If you reaffirmed a first and the payments do not show up, perhaps the bank doesn't believe it was properly reaffirmed. You would need to speak with the bank about that (reporting). If it was discharged, never worry about a debt for which you're still paying, not being reported on your credit report. That's the last thing you should be worried about or care about. (I should also mention that there are very few good reasons to reaffirm any mortgage anyhow. Especially when you are underwater on any one of them.)

If you stop paying the 2nd, then you will be at the mercy of what the 2nd decides to do when you are in default. There is absolutely no way to tell what the 2nd will do. They can do everything from a.) absolutely nothing, b.) foreclose, c.) sue you on the Promissory Note (without foreclosing), or even d.) give up and send you a satisfaction of mortgage. (I actually received a satisfaction of mortgage recently, out of the blue , on a discharged 2nd mortgage!)

The problem is, there is no way to tell what is going to happen.

[Medport]

anybody, I'm in the same boat?

[demetrise]

I filed bankruptcy it was discharged a little over a year ago. I did not reaffirm my 2nd mortgage. I did reaffirm my 1st mortgage. I have been making payments on both, but neither have shown up on my credit report? What would be the possible issues I would face in the future if I stop making payments on my 2nd mortgage? Since I reaffirmed my 1st mortgage should the payments show up on my credit report?

I live in Austin, TX.