It could be a pre-paid credit card. 

I started with him when he was doing turn key houses that we funded.. he gravitated to larger development deals that can be tough to place.175 parcels pre sold to a national builder who released 3 mil in EM.  22 mil contract to buy exiting first 5 mil  so we are junior but also have a collateral assignment of the purchase contract and other guarantees.. having speed an being the sole underwriter on this one ( ME) based on history( I funded 2 other developments for him one in Colorado one in GA) We got it done..

As I covered in  
How To Break In To The Foreclosure Space 
https://www.biggerpockets.com/forums/311/topics/1268537-how-... there are different kinds of foreclosures. The kind of foreclosures you want to chase will ...

Hi everyone,I inherited a property that’s now fully paid off.

The following is one I actually purchased in Phoenix that was a pre-foreclosure.

The following is one I actually purchased in Phoenix that was a pre-foreclosure.

I wonder if it's possible I could get a heloc somehow even though I'm not the one that paid it off Yes most likely some type of fee for transfer of ownership !

The following is one I actually purchased in Phoenix that was a pre-foreclosure.

This is insane that these guys got that large of deposits on a pre sale rental house construction sent directly to them. 

Every pre approval I have seen has the company name, logo, lending contact, etc on the letter. 5) The heading says "Letter of Approval".