Need help with note situation

[Paul Murch]

Need some help on what options I have with this 2nd note in California. The borrower was in CH13 bankruptcy. My note was crammed down because the house was so far underwater. Throughout the bankruptcy plan, they paid me enough to make me a decent return on what I paid for the note. She completed the plan, but they never filed to actually discharge my note. My assumption is that the note is worthless because her bankruptcy plan was successfully completed. The lack of a discharge was probably just an oversight.

Fast forward about 6 months and she is now in pre-foreclosure on the 1st mortgage. I got an offer in the mail from an investor looking to buy the 2nd note.

Before I go looking for an attorney, I figured I would reach out to the BP community for thoughts.

[Mike Hartzog]

@Paul Murch - I am not an expert when it comes to junior liens, especially when it comes to their treatment in BK cases.  On the other hand, @Bill McCafferty  is definitely an expert.  Personally I would be taking his advice here.  

@Jay Hinrichs - 😁 hope all is going well for you.