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cathy73
Posts: 2
Registered: ‎10-10-2012
False repossession on credit report

There is a repossession status on my credit report that shouldn't be there. I had gone through a messy divorce a few years ago where I fell many payments behind on my mortgage payment. I ended up selling the property myself before it got reposessed by the bank.

 

Now, here comes the problem. It states on my credit report that property was repossessed. I tried to dispute it to the credit bureau and brought them the sales document from the notary to show that I sold the house. After inquiring with the bank they say it has to stay on as is due to the amount of payments I missed. They did offer me to add an explation to my credit report. I need to write a statement up to a 100 words which would be added to my credit file enabling creditors to access my explanation. Can someone here advise me what I can write that would tell them that I did not go through a repossesion? 

 

I need to word it properly, up to 100 words. Please help.

 

Thank you.

Valued Contributor
IOBA
Posts: 2,653
Registered: ‎08-13-2009
Re: False repossession on credit report

Hopefully someone else will step in and guide you.

 

What is the legal definition of "repossessed" in bank terms?   If the bank did not meet those terms, then they would be fraudently reporting.

 

I hear the banks logic - if you are 90 days late, technically in the banks mind, you are in foreclosure.   They usually report foreclosure after the 90 days.  Although some banks, will not use the word foreclosure on your credit report until they are later in the process of foreclosure OR have actually foreclosed.  Each  bank is different.

 

Did the bank start foreclosure proceedings prior to you getting a ratified sales contract?  Banks usually (again, not always) start "foreclosure" proceedures (that first letter saying you are x amount of days late, pay up or else) when you reach the 90 consequent days "late".

Moderator
Shogun
Posts: 10,926
Registered: ‎04-15-2011
Re: False repossession on credit report

I've never heard of a home being repossessed.  Forclosed maybe.   Have you tried to contact them?  I'd try a GW with them first before you go off and dispute to the CRAs.  Maybe they can clear it up easier.  Read up on the link below.

 

http://ficoforums.myfico.com/t5/Rebuilding-Your-Credit/GW-letter-Q-amp-A-Examples-and-GW-Success-Sto...


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Valued Contributor
IOBA
Posts: 2,653
Registered: ‎08-13-2009
Re: False repossession on credit report

Just a little October humor - maybe the bank means your house was repossessioned by a friendly ghost, like Casper?   And since they have to legal disclose if the house is haunted (depending on your state)....this is there way of saying that they did disclose it?  :smileywink: