Problem with getting a payoff from second Lean holder

[Ben Taub]

i went into contract on a short sale property in Essex County NJ.

everything looked fine until we found out that there is a second note on the property originated by BOA 

We have reached out to Bank of America to inquire about this lien, and they informed us that servicing of the mortgage was transferred to Fay Servicing back in 2015. We have also contacted Fay Servicing who told us that the loan was purged off their system back in 2018 and we needed to speak with their lien release dept about getting the lien released from title. Unfortunately, I have not been able to reach anyone in the lien release dept at Fay and have not gotten an answer from them if they are going to be releasing the lien from title or if they are going to require a payoff in order to do so.
I do not have any loan number or additional account information from Fay and when we call their customer service dept, they tell us they have no record of the loan in their system. But the consumer advocacy team has confirmed that they located the loan and It was purged in 2018 which is why customer service cannot see It. The last thing they told us is they would submit a research request to the lien release dept to look into this matter… but it's been over a month since they said that, and we have not heard anything and they are no longer responding to my emails.

i was told to do a Quiet Title however my attorney told me that a  QT is only in the situation where we are sure that it was paid off and have proof for that , however in this case the seller doesn't remember that was paid off, but most likely it was purged since they just stopped to collecting it .so he can't see how we can file for a QT.

can Anyone advise on this? is there really nothing you can do if a lender is unresponsive???!!!

[Andy Mirza]

@Ben Taub To me, it's not entirely clear what "purged from their system" means. As Chris said, it might be charged off and they're no longer collecting on it. I suspect, as Chad implies, that maybe the loan was sold off to someone else.

You can get an O&E report from ProTitle for about a hundred bucks that will show recorded docs against the property. You should be able to see who the last Assignee is from the last recorded Assignment of Mortgage. This would be the current lender and the one you need to deal with. If B of A sold this loan to someone else, you might be talking to the wrong servicer.