Posted on: 13th Feb, 2010 01:10 pm
I live in california and received 1099 c from the second lender (HELOC) for 2009. I continue to make payments on the first loan. I filed my taxes and claimed 1099 c as my income and paid taxes on it. Does it mean that I don't owe any money to second lender? If yes than should second lender remove the lien on my house?
Thank you
Mike
Thank you
Mike
hi guest,
you would receive the 1099c form if your second mortgage lender had forgiven the loan. if he has already forgiven the loan, then you do not have to pay anything to the lender henceforth. in this case, the second lender would remove the lien from your property.
thanks
you would receive the 1099c form if your second mortgage lender had forgiven the loan. if he has already forgiven the loan, then you do not have to pay anything to the lender henceforth. in this case, the second lender would remove the lien from your property.
thanks
What if they issued the 1099c and also kept the lien on the house. Is this illegal for the bank to do?
HI Bernadette,
The lender will issue a 1099c when he has forgiven the debt. If he has already forgiven the debt, there won't be any lien on the property.
Thanks
The lender will issue a 1099c when he has forgiven the debt. If he has already forgiven the debt, there won't be any lien on the property.
Thanks
If you received a 1099C the debt has been forgiven BUT don't assume that the lender has removed the lien. The only way to know is to have a title report done or visit the courthouse yourself and look up your records. If the lien is still there then contact the lender that issued the 1099C and request a "Certificate of Release" and have it recorded.