here is a good example of a bank screw up.
A friend went bankrupt after losing his job and unable to find a new one that payed enough to survive on. His bank(chase) carried the mortgage on his house and he has been paying on it for about 5 years. Chase never recorded the deed , the Federal judge dropped the mortgage as a NON-secured dept. My friend does not have to pay the mortgage.
...because of the bankruptcy.
If he hadn't gone bankrupt, he would still owe the money... it would just be unsecured debt rather than a mortgage secured by the property.
Please look up the definition of 'mortgage'.