A HELOC, also known as a Line of Credit Mortgage or Second Mortgage is often “charged off” or appears on a borrowers credit report as “bad debt” or “charge off”. Often, borrowers wrongly assume that the mortgage is then completely forgiven or written off and not collectible.  This is not necessarily true. Often bad debt gets sold on the market and creditors, debt companies and third parties purchase it at a discount. The mortgage remains on the title to the property and is not satisfied or reflecting a zero balance.

At the Law Offices of Jacqueline A. Salcines, PA, we have over 20 years experience negotiating debt for our clients and have been successful in wiping these HELOC and Lines of Credit Mortgages off or settling them for pennies on the dollar. The most important step and first step is to make sure the debt was transferred to the new owner correctly and that it is in fact collectible. You do not want to settle or work something out on a debt that was never collectible to begin with.

Once we determine it is collectible, then we go to work to have it worked out whether written off or settled for the borrower.

If you have a HELOC or Line of Credit mortgage sitting on your credit report or property, or have been sued in foreclosure recently to collect on the line of credit, call us.