topic Re: EX clear of BK but mortgage now reporting Neg in Bankruptcy

EX clear of BK but mortgage now reporting Neg

Anonymous — Mon, 09 Apr 2018 11:54:11 GMT

So, I’m 3 months away from BK13 falling off my EX, I checked today and the public record is gone!

I had filed an EE in early March, but when it was updated a couple weeks ago they left the public record, so I guess they just deleted it early.

In the process of the EE request, I disputed my mortgage account. I just signed a deed in lieu in Feb and instead of deleting the account, it got updated as Negative with deed in lieu as of March. The mortgage was discharged with the BK. Do I have any recourse? It won’t let me file another dispute on this item. I’ll get my update EX scores in 2 days, so I hope it doesn’t kill my scores now reporting as late as of 2 months ago. Ugh!!

**********UPDATE*******
The mortgage derog cost me 100 points!

Re: EX clear of BK but mortgage now reporting Neg

Anonymous — Sun, 08 Apr 2018 04:40:51 GMT

Congrats on the EE!

Re: EX clear of BK but mortgage now reporting Neg

despritfreya — Sun, 08 Apr 2018 12:44:13 GMT

@Anonymous wrote:
So, I’m 3 months away from BK13 falling off my EX. . . I disputed my mortgage account. I just signed a deed in lieu in Feb and instead of deleting the account, it got updated as Negative with deed in lieu as of March. The mortgage was discharged with the BK. Do I have any recourse?

Not to be a stick in the mud but, why do you think your mortgage was discharged through your Chapter 13? If your Chapter 13 plan provided for a cure and maintain (or a maintain if you were current) that obligation was not discharged and the reporting of correct information is not impermissible. Please Google and read 11 USC 1328(a)(1) and 11 USC 1322(b)(5). Further, while very little case law is out there, there is some that holds that the reporting of a foreclosure post discharge is not impermissible because such reporting addresses the status of the property, not the status of payments. The same could be said for a DIL.

Having said this, it is always possible that your dispute will work - not because the reporting is wrong, but because the credit reporting agency may not understand the law and/or the law relative to reporting a foreclosure post discharge may be unsettled.

Des.

Re: EX clear of BK but mortgage now reporting Neg

Anonymous — Sun, 08 Apr 2018 20:18:12 GMT

The mortgage was most certainly discharged with the BK13. I did not reaffirm debt thru the BK, it was listed as property to be surrended. We didn’t live in the house for 4 of the 5 years we were in BK. It just took the Bank a long time to get the paperwork approved/in order.

Re: EX clear of BK but mortgage now reporting Neg

Anonymous — Mon, 09 Apr 2018 11:53:19 GMT

Well got my answer today on score impact. The mortgage derog cost me 100 points. I’ll be sending a certified letter disputing the status since the account was IIB. One step forward two steps back, Ugh!