topic Re: Past Foreclosure in Mortgage Loans

Past Foreclosure

Anonymous — Wed, 02 Nov 2016 02:19:04 GMT

Hello. I am in the process of applying for a a refinance through FHA. Anyways, I was denied in underwriting due to the close date of the foreclosure date being under the 3 year period. However my foreclosure happened in 2012 and the CRA are reporting it as closed and last status in 2/14 which is causing the auto approval to deny the loan.

The foreclosre/sherriffs sale happened ins 6/2012. in Fact the home was occupied by someone else in April of 2013. The 1st mortgage was with Saxon and right at the foreclosure Residential Capital Solutions took over the account and like I mentioned I was foreced out by Dec 2012. Again RCS iwas reporting the sttaus and closed date on the CRA as 2/14.

I did file disputees with the CRA. Experian made the change on the RCS account to 2012 as it should be. Transunion has yet to be completed. Equifax has said that the creditor is reporting is as accurate. They kept it on there and put the date of Major Delinquency as 2/14. Shouldnt this be the same as the 6/12??!! Im thinking this is illegal of RCS and or Equifax. Isnt this the act of re-aging the account?? They are claiming the major delinquency is reporting in 2/14 after the investigation.

I just wanted to get your thoughts on this and how I should escalade further and if this is indeed illegal. RCS had a bunch of law suits taken to them last year. Shall I contact acredit attorney??

Re: Past Foreclosure

Anonymous — Wed, 02 Nov 2016 02:23:00 GMT

Equifax is terrible and even with proof they wont change anything

Re: Past Foreclosure

Anonymous — Wed, 02 Nov 2016 02:28:51 GMT

Thanks for the reply. Im thinking I should contact an attorney on this to escalade it. From what I ready this is illegal of RCS correct? Under the Fair credit reporting Act Equifax will have to change this correct?

Re: Past Foreclosure

Anonymous — Wed, 02 Nov 2016 12:32:44 GMT

Under fair credit it should be changed to reflect the actual dates and issue but again equifax just didn't budge even with proof from inside the company I was disputing that the claim was incorrect. I contacted the
CFPB but they are just data collectors, you can also contact your states attorney general and they will help you. That is the next step for me. Very frustrating. All other credit reporting agencies recognized the
Error and removed but not Equifax.

Re: Past Foreclosure

StartingOver10 — Wed, 02 Nov 2016 13:04:53 GMT

You should be able to provide the actual Certificate of Title copy to your lender so they can use the right date.

You can get a copy of that document from the tax records of the property. At least, that is where we can get it here in my area. Check your tax records for the property address and look at the deeds and CT's (Certificate of Title's). Ask your LO if that document will work.

Re: Past Foreclosure

VALoanMaster — Wed, 02 Nov 2016 16:16:12 GMT

@Anonymous wrote:
Hello. I am in the process of applying for a a refinance through FHA. Anyways, I was denied in underwriting due to the close date of the foreclosure date being under the 3 year period. However my foreclosure happened in 2012 and the CRA are reporting it as closed and last status in 2/14 which is causing the auto approval to deny the loan.

The foreclosre/sherriffs sale happened ins 6/2012. in Fact the home was occupied by someone else in April of 2013. The 1st mortgage was with Saxon and right at the foreclosure Residential Capital Solutions took over the account and like I mentioned I was foreced out by Dec 2012. Again RCS iwas reporting the sttaus and closed date on the CRA as 2/14.

I did file disputees with the CRA. Experian made the change on the RCS account to 2012 as it should be. Transunion has yet to be completed. Equifax has said that the creditor is reporting is as accurate. They kept it on there and put the date of Major Delinquency as 2/14. Shouldnt this be the same as the 6/12??!! Im thinking this is illegal of RCS and or Equifax. Isnt this the act of re-aging the account?? They are claiming the major delinquency is reporting in 2/14 after the investigation.

I just wanted to get your thoughts on this and how I should escalade further and if this is indeed illegal. RCS had a bunch of law suits taken to them last year. Shall I contact acredit attorney??

The lender is supposed to ask your for something to document exactly when the bank took back title to that home. This usually done with a copy of the Sherrif's Deed which can be found on your county website.

In addition to that, the AUS (automated underwriting system) can be made to ignore a mortgage account that is reporting incorrectly specifically for situations like this.

As far as your credit report goes, provide a copy of the Sheriff's Deed & that should clear up the dates.

It sounds to me like you need a new lender.

Re: Past Foreclosure

Anonymous — Wed, 02 Nov 2016 17:00:03 GMT

Thank you for the note. I am looking to do a cash out FHA refinance. I have a good apraisal in hand. My current mortgage has a perfect payment history that goes back 5 years. As I mentioned before what is holding me up now for approval is I was told that the credit report on my past foreclosure has to be updated to show the correct dates.

Anyone out there that can get me approved let me know. I am in Minnesota.

FICO scores are as follows:

Experian: 667

Transunion: 705

Equifax: 716

Re: Past Foreclosure

Anonymous — Thu, 08 Dec 2016 07:35:38 GMT

I had a similar issue. I had to get a copy of the deed transfer post foreclosure and supply that. The date on that document is what the lender uses as it is the official transfer date. My loan officer had no issues getting it pushed through. The paperwork is public record so it is very easy to track down. Took me less than 5 minutes to obtain.