I am attempting to do a short sale and just discovered that in 2006 I refinanced my home and one of the two loans used to refinance in the amout of 110,000 was not taken off the credit report. I believe the term for this is reconveyed. I am working with an attorney and she states that the title company doesn't know what they can do about this error and my attorney does not know what to do. I thought that they were the experts. At any rate, my attorney asked me what I did with the loan that I took out for 110,000 and my answer is nothing because I never took a loan out. If I would have taken the loan out wouldn't I have made payments on this or did someone just give me 100,000 dollars. Please advise.

If the only issue is that it is showing up on a credit report, ( no one is actually trying to collect) You challenge in writing with the credit reporting agency that this is a valid loan.
The reporting agency then attempts to verify with loan company who will now it is not a valid loan and it drops from the report.

Can take a month or two to get it down but that is how it gets off the report.

You will have to do this with each reporting agency separately