My question involves bankruptcy in the state of: Pennsylvania
I filed for bankruptcy in PA in October of 2008. The hearing was on January 5th of 2009 and am awaiting the discharge. I worked out a loan modification with the first mortgage on my property and I just received a 1099-c (Cancellation of Debt)for the whole amount of the second.
My question is, does this completely wipe out the second mortgage? If I sell the home, will they still hold a lien against the title?
Based on what I read on the IRS website, once I file the form 982(this is my primary residence) the 2nd mortgagor can no longer come after me for the debt. I am trying to figure out if this also means they have no rights whatsoever on the home.
Thank you

