How can you get a property lien removed after discharge from bankruptcy? 19 Answers as of June 13, 2013

Just got discharged from bankruptcy chapter 7, had a first lien and second line by my mortgage lenders. I surrendered the property; second lien holder is still there, how can I get it removed since it was discharged in BK even though it was secured debt?

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The Law Office of Darren Aronow, PC
The Law Office of Darren Aronow, PC | Darren Aronow
In order for you to surrender, you would have had to sign the deed over to the bank. And the 2nd mortgage will usually not agree to that, so if you simply "said" that you were surrendering the property in the bankruptcy then you did not accomplish that. You may want to do a short sale to get it over with.
Answer Applies to: New York
Replied: 11/9/2012
Havens Law, LLC
Havens Law, LLC | William Havens Nebeker
If the lien is attached to the property, then there is no way to remove it although you are no longer legally liable for the debt. If you need a lien removed you need to make a motion to do so during a bankruptcy case. If you need the lien removed you should contact an attorney about how to proceed.
Answer Applies to: Utah
Replied: 11/2/2012
Janet A. Lawson Bankruptcy Attorney
Janet A. Lawson Bankruptcy Attorney | Janet Lawson
If you actually surrendered it or it was foreclosed.... that second is gone. Anyone trying to collect is violating the law.
Answer Applies to: California
Replied: 11/1/2012
Eliza Ghanooni, Attorney at Law
Eliza Ghanooni, Attorney at Law | Eliza Ghanooni
Even though your loans are discharged in the bankruptcy, they still remain liens on your property.
Answer Applies to: California
Replied: 11/1/2012
Law Office of D.L. Drain, P.A.
Law Office of D.L. Drain, P.A. | Diane L. Drain
Why are you worrying about this if you surrendered the property? Your obligation to pay the debt was discharged. You cannot keep the property without paying for it, but since you surrendered it obviously you do not want to keep it. If there is a homeowner's association you need to check with the good real estate or bankruptcy attorney in your state to determine your obligations.
Answer Applies to: Arizona
Replied: 10/31/2012
    LAW OFFICE OF MARGARET L. EVANS, PC
    LAW OFFICE OF MARGARET L. EVANS, PC | Margaret L. Evans
    Just got discharged from bankruptcy chapter 7.
    Answer Applies to: South Carolina
    Replied: 6/13/2013
    R. Jason de Groot, P.A
    R. Jason de Groot, P.A | R. Jason de Groot
    You surrendered the property, the debts have been discharged, you have no obligation to the second mortgage lien holder. Why?
    Answer Applies to: Florida
    Replied: 10/31/2012
    Steele, George, Schofield & Ramos, LLP
    Steele, George, Schofield & Ramos, LLP | Alan E. Ramos
    When you receive a discharge in Chapter 7, your personal liability for your debts, including the loans on your home are extinguished. However, there is no effect on the liens on the property. Properly secured liens remain on the property until such time as the property is sold or foreclosed upon.
    Answer Applies to: California
    Replied: 10/31/2012
    Bordeaux Law, P.C.
    Bordeaux Law, P.C. | Clifford Bordeaux
    If you surrendered the property, then you don't need to get the lien removed. Your personal liability for the debt has already been discharged. The second lien will be wiped out when the first mortgage lender forecloses.
    Answer Applies to: California
    Replied: 10/31/2012
    The Salas Firm
    The Salas Firm | Ron Salas
    I am confused on why you would do such a thing. If you surrendered the property, why do you care if there is a lien? You need to file a Motion to Reopen and then File a Motion to Avoid the Lien. The court cost will be about $300.00.
    Answer Applies to: Colorado
    Replied: 10/31/2012
    Law Offices of Joseph A. Mannis
    Law Offices of Joseph A. Mannis | Todd Mannis
    The property is surrendered. The lien(s) went with the house. Not that it matters, but why would you want to remove a lien on a house you no longer own? Who cares? Your debt is discharged, they can't touch you, you're good.
    Answer Applies to: California
    Replied: 10/31/2012
    Clayton Law Offices | Rose Clayton
    While your bankruptcy intentions were to "surrender" the property, the bank still has to take it back. Just by saying you are surrendering doesn't make it so. The bankruptcy wiped out your obligations on the loans. However, the first and second liens on the property remain. Once the first lien holder actually forecloses, then that will wipe out the second lienholder.
    Answer Applies to: Massachusetts
    Replied: 10/31/2012
    Musilli Brennan Associates PLLC
    Musilli Brennan Associates PLLC | John F Brennan
    A discharge of the debts in bankruptcy does not relieve or change the fact property is liened. I would suspect the second mortgage holder is hoping there will be some potential recovery after the first lien is paid off.
    Answer Applies to: Michigan
    Replied: 10/31/2012
    A Fresh Start
    A Fresh Start | Dorothy G Bunce
    If the lien is a voluntary lien, such as a 2nd mortgage, line of credit or Equity loan, you cannot remove it in a Chapter 7. Those types of loans can only be eliminated by a Chapter 13 where you lien strip. If this lien is something that occurred as a result of a legal right, such as from a HOA, utility, or mechanics lien, these types of liens cannot be removed in either a Chapter 7 or Chapter 13. If this is a judicial lien, you can file a motion to avoid the lien. You may have to reopen your bankruptcy to bring this motion. The process to do this is quite complicated & you should retain an experienced attorney to represent you in this matter.
    Answer Applies to: Nevada
    Replied: 10/31/2012
    Dan Wilson Bankruptcy
    Dan Wilson Bankruptcy | Dan Wilson
    You surrendered the property. Why would you care about the 2nd mortgage?
    Answer Applies to: Colorado
    Replied: 10/31/2012
    Pitt, Hay, and Hugenschmidt
    Pitt, Hay, and Hugenschmidt | Edward C Hay
    If you surrendered the property, the second lien holder can collect against the property, but that is all.
    Answer Applies to: North Carolina
    Replied: 6/13/2013
    Diefer Law Group, P.C.
    Diefer Law Group, P.C. | Abel Fernandez
    If you surrendered the property, then you should not worry about the second lien. You would not be personally liable on the second lien.
    Answer Applies to: California
    Replied: 10/30/2012
    The Schreiber Law Firm
    The Schreiber Law Firm | Jeffrey D. Schreiber
    Bankruptcy has no effect on liens and the court has no ability to remove mortgage liens in Chapter 7 cases.
    Answer Applies to: California
    Replied: 10/30/2012
    Attorney at Law | David Holbrook
    The bankruptcy discharged the debt. If you surrendered the property, then the lien doesn't affect you.
    Answer Applies to: Georgia
    Replied: 10/30/2012
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