Q: We filed for a Chapter 7 bankruptcy in 2005 and kept our house and cars. What happened to the second mortgage? It was part of the bankruptcy, so do we still owe this money? We received our discharge papers and were relieved of all debt. But we received a notice to continue making the payments.

—LaRhonda Wyatt, Atlanta

A: The second mortgage could have been eliminated, but this is usually the exception rather than the norm with Chapter 7 bankruptcy, Michael Eriksen, an assistant professor of real estate at the University of Georgia, told Q&A on the News. Most often the mortgage lenders in Chapter 7 bankruptcy remain if the borrower does not have sufficient equity to liquidate. The second mortgage loan most likely would have been eliminated if they had filed a Chapter 13 bankruptcy, he wrote in an e-mail. In Chapter 13 bankruptcy, households submit a repayment plan to a court-appointed trustee, and non-primary home loans are usually wiped clean after the borrower exits the reorganization process. This type of bankruptcy usually takes three to five years to exit, and the borrower must have sufficient disposable income to repay certain debtors. Borrowers have a couple of other options. They could stop paying the second mortgage while continuing to remain current on the primary mortgage. This solution is risky, as the lender could initiate foreclosure or sue the borrower. Another option is to contact the second lender to negotiate for lower interest rates or to defer payments. He added that the reader needs to seek professional help to see what option is best for them.

Lori Johnston wrote this column. Do you have a question about the news? We’ll try to get the answer. Call 404-222-2002 or e-mail q&a@ajc.com (include name, phone and city).