08-28-2012 07:18 PM
I filed bankruptcy in 2010, submitted a reaffirmation form for my car and home payments. Well this year I learned my car form for reaffirmations was signed and sent in to my lawyer but upon trying to get my home refinanced this year, I learned there were no mortgage loan on my credit report. My findings, my home mortgage was included in my Chapter 7 bankruptcy. IAW my lawyer's secretary she made several attempts by letter and phone but there were no response. The person I talked with about refinancing said my credit report was reporting as paid in full. I don't know exactly what to do about this I did not know my mortgage was not reporting. Is there any body out there can help me with this? Thanks
08-29-2012 07:06 AM
The reporting, or the non-reporting, of the mortgage has nothing to do with the BK. Each creditor can decide if they want to report or not. It's totally up to them. They can report on one of the 3 CRAs, 2 of the 3, all 3, or none of the 3. Their call. And if they report, there's no legal requirement to keep reporting. They can delete early if they wanted to. Without knowing more, it's possible your mortgage never reported. Or if they did report, maybe they decided to delete after the BK.
Per FICO, the deletion could have helped or hurt you. The only way it could hurt is if the age of the mortgage was greater, on average, that all of your other accounts. In other words, deleting an old account can sometimes hurt your average age of accounts (AAoA). The deletion could have helped your FICO if it was reporting any lates and/or reporting a "included in BK" comment. Both of these scenarios would hurt your score and your score could have increased when deleted. Any IIB account is viewed as a negative. It's deletion could have also helped your FICO if the mortgage was younger than your average age of accounts, meaning the deletion would have elevated your length of history.
08-30-2012 07:32 AM
Thank You for your reply. Am I wasting my time paying this mortgage? I pay faithfully and I have not been late seen filing BK. Will I be able to refinance, since their is no reporting at the credit companies? The bank that is trying to help me refinance said my mortgage company is reporting my balance as zero. I have been reading your forums and found helpful and interesting topics.
08-30-2012 06:03 PM
Call the mortgage company. If they tell you the loan is paid in full ask them to send you the promissory note marked paid and cancelled.