Citi charged off debt during 13

[ConfusedBK13]

Please help. I am so confused. We filed for Chapter 13 in August of 2009. The Trustee began sending payments to creditors in November of 2009. Citi has a 2nd mortgage on our home. They have been paid by the Trustee since November of 2009 with no lapses. (We send $4,950 per month to Trustee for all claims, and I can see the disbursements to Citi) I am trying to file my taxes, and I didn't get a mortgage interest statement from Citi. After several phone calls, transfers, and specialists, I was told our debt had been charged off in February of 2010. I have no idea how this came about, and Citi seemed confused, as well. They also told me once a debt is charged off, it can't be reveresed. What happens now? Any advice on how to proceed?

[lrprn]

"Charge-off" simply means that Citi documented internally that your loan is not going to be paid in full and will become a tax write-off for Citi. This doesn't remove your financial obligations to pay the loan.

Is your home worth less than your first mortgage so the second mortgage has become an unsecured debt? Are you hoping to strip mortgage #2 once you are discharged?

[ABC]

Did they make a claim ? If not, you don't owe them but won't change your monthly payment.

[minan]

After several phone calls, transfers, and specialists, I was told our debt had been charged off in February of 2010. I have no idea how this came about, and Citi seemed confused, as well. They also told me once a debt is charged off, it can't be reveresed. What happens now? Any advice on how to proceed?

Similar thing happened to us. One of our creditors included in our plan did file a claim after we filed bk in 2010, however recently in feb '11, they are now listed on our credit report as a charge-off. Asked atty about it, however he stated it makes no difference. They cannot come after me and are in the plan. He stated that it was up to us if we wanted to dispute it and get it corrected on our credit report.