Legal Question in Bankruptcy in California

Sort of ... Your personal responsibility to pay the 2nd will be discharged along with the credit card debt; but the lien will remain. And since there is equity in that lien (the house is worth more than what you owe on the 1st) you'll want to keep up the payments to avoid a foreclosure by the 2nd.

There is a distinction between the personal obligation the repay the promissory note for they money you borrowed and the liens you granted against your home. If you file for Chapter 7 and receive a discharge, the credit card debt and the mortgage debt will be wiped out. However, the mortgage companies will both retain their liens and the still could foreclose for nonpayment.

The only way to actually remove a second mortgage lien is to file for a Chapter 13 repayment plan. Even then, you can only remove the second mortgage if the home is worth less than what you owe on the first mortgage.

The bottomline is that you will not be able to get rid of your second mortgage at all and that you will be able to discharge the credit card debt if you otherwise qualify for a Chapter 7 discharge.