topic Re: Repo vs Forclosure in General Credit Topics

Repo vs Forclosure

Tmyers — Mon, 03 Jul 2023 18:17:27 GMT

I know they are essentially similar. However my regular experian report shows my Repo as a VS (voluntary surrender) because that is what it was. However, my myFICO experian report shows my VS/Repo as a "FC". Is it the same?

Re: Repo vs Forclosure

Brian_Earl_Spilner — Mon, 03 Jul 2023 19:21:45 GMT

Sorry, but a repo is a repo. Being voluntary has no impact on it's reporting or effects. They might put a note that it was voluntary, but again, doesn't change that the vehicle was taken back by the lienholder.

Re: Repo vs Forclosure

Tmyers — Tue, 04 Jul 2023 17:24:32 GMT

@Brian_Earl_Spilner wrote:
Sorry, but a repo is a repo. Being voluntary has no impact on it's reporting or effects. They might put a note that it was voluntary, but again, doesn't change that the vehicle was taken back by the lienholder.

I understand that however, that was not my question. The repo is marked as a Forclosure and not repo. My question was whether or not myFICO uses the same terminology for all three. Instead of having it show as a "R or VS" like it does on my experian stand alone report, does myFICO use FC (foreclosure) to represent a repo.

Re: Repo vs Forclosure

GZG — Tue, 04 Jul 2023 17:41:36 GMT

@Tmyers wrote:
@Brian_Earl_Spilner wrote:
Sorry, but a repo is a repo. Being voluntary has no impact on it's reporting or effects. They might put a note that it was voluntary, but again, doesn't change that the vehicle was taken back by the lienholder.
I understand that however, that was not my question. The repo is marked as a Forclosure and not repo. My question was whether or not myFICO uses the same terminology for all three. Instead of having it show as a "R or VS" like it does on my experian stand alone report, does myFICO use FC (foreclosure) to represent a repo.

you should check how it's reporting on your actual reports: https://www.annualcreditreport.com

myFICO is merely grabbing the data from the reports and showing it to you, they aren't the ones holding the data, so they could be showing it inaccurately

I'm not sure if FCRA requires them to report VS vs. Repo specifically, I feel like it should, but that's definitely worth looking into if they are reporting Repo when it is a VS.

I agree with above that FICO wise, it probably doesn't make a difference in scoring between the two, but for manual underwriting it might, so having that reflect accurately might help. It might also hurt your score to have the tradeline last activity date be updated, so that's worth considering as well.

Re: Repo vs Forclosure

Brian_Earl_Spilner — Tue, 04 Jul 2023 18:29:44 GMT

@Tmyers wrote:
@Brian_Earl_Spilner wrote:
Sorry, but a repo is a repo. Being voluntary has no impact on it's reporting or effects. They might put a note that it was voluntary, but again, doesn't change that the vehicle was taken back by the lienholder.
I understand that however, that was not my question. The repo is marked as a Forclosure and not repo. My question was whether or not myFICO uses the same terminology for all three. Instead of having it show as a "R or VS" like it does on my experian stand alone report, does myFICO use FC (foreclosure) to represent a repo.

Foreclosure just means the lender took back the property and is attempting to recover its losses by selling the asset. It's what a repo is. So it doesn't matter if it says repo, voluntary repo, or foreclosure. They are all the same thing. People tend to attach repo to autos and foreclosures to homes, but they're interchangeable. You can reposses a home and foreclose on an auto loan.

Re: Repo vs Forclosure

AndySoCal — Wed, 05 Jul 2023 18:49:30 GMT

@Tmyers When you voluntarily surrended the vehicle had the repopossion process started or not?

All,

Sometimes a consumer will voluntarily surrender a car knowing their financial circumstances and by doing so not having the car repossesed. Yes the consumer may or may behind on their loan payments.

Re: Repo vs Forclosure

Tmyers — Wed, 05 Jul 2023 18:53:56 GMT

@AndySoCal wrote:
@Tmyers When you voluntarily surrended the vehicle had the repopossion process started or not?
All,
Sometimes a consumer will voluntarily surrender a car knowing their financial circumstances and by doing so not having the car repossesed. Yes the consumer may or may behind on their loan payments.

No it has not, I was only a month late.

@AndySoCal wrote:
@Tmyers When you voluntarily surrended the vehicle had the repopossion process started or not?
All,
Sometimes a consumer will voluntarily surrender a car knowing their financial circumstances and by doing so not having the car repossesed. Yes the consumer may or may behind on their loan payments.

Re: Repo vs Forclosure

Tmyers — Wed, 05 Jul 2023 18:54:39 GMT

@Brian_Earl_Spilner wrote:
@Tmyers wrote:
@Brian_Earl_Spilner wrote:
Sorry, but a repo is a repo. Being voluntary has no impact on it's reporting or effects. They might put a note that it was voluntary, but again, doesn't change that the vehicle was taken back by the lienholder.
I understand that however, that was not my question. The repo is marked as a Forclosure and not repo. My question was whether or not myFICO uses the same terminology for all three. Instead of having it show as a "R or VS" like it does on my experian stand alone report, does myFICO use FC (foreclosure) to represent a repo.
Foreclosure just means the lender took back the property and is attempting to recover its losses by selling the asset. It's what a repo is. So it doesn't matter if it says repo, voluntary repo, or foreclosure. They are all the same thing. People tend to attach repo to autos and foreclosures to homes, but they're interchangeable. You can reposses a home and foreclose on an auto loan.

Okay this is what I was needing clarification on. Thank you!

Re: Repo vs Forclosure

AndySoCal — Thu, 06 Jul 2023 00:43:58 GMT

@Tmyers On the real Experian credit report (Not My FICO) what is the payment history that it is showing? From you last post their should be a 30 day late if there is any payment history at all. I do not know what that FC stands for I looked at the post on how read a credit report. The FC is not in that post.

ALL

The difference between a voluntary surrender and a repossesion.

https://www.experian.com/blogs/ask-experian/difference-between-a-voluntary-surrender-and-repossession/

The difference between Deed in Lieu and a Foreclosure

https://www.rocketmortgage.com/learn/deed-in-lieu

Re: Repo vs Forclosure

Tmyers — Thu, 06 Jul 2023 08:37:31 GMT

@AndySoCal wrote:
@Tmyers On the real Experian credit report (Not My FICO) what is the payment history that it is showing? From you last post their should be a 30 day late if there is any payment history at all. I do not know what that FC stands for I looked at the post on how read a credit report. The FC is not in that post.

ALL
The difference between a voluntary surrender and a repossesion.

https://www.experian.com/blogs/ask-experian/difference-between-a-voluntary-surrender-and-repossession/

The difference between Deed in Lieu and a Foreclosure

https://www.rocketmortgage.com/learn/deed-in-lieu

The real experian is showing a "VS" and then immediately after shows the repo as a charge off the next month when they sold car.

on my FICO credit report legend it says FC means foreclosure

Re: Repo vs Forclosure

AndySoCal — Sat, 08 Jul 2023 18:22:11 GMT

@Tmyers On the My FICO credit report I would post screen shot of the that tradeline in the FICO Product Feedback forum. Hide the account number or any personal info. Show that tradeline with the credit history and FC. There is FICO moderator you may able to request assistance from. The moderator my need the FICO credit report number or something that they use to do the research on. The charge off/ repo on the Experian credit report I would not dispute it at this point in time. Technically the vehicle is repossed after you surrendered the vehicle. The charge off is creditor bring the account to a zero balance. When the vehicle was sold how much was received in relation to balance owed on the account etc. I would leave that account alone knowing you did the right thing (responsible) under the circumstances. The impact of the account on your score will diminish as time passes. In time (7 years) later depending on where you live the account will fall off your credit report. I hope this helps.