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Mortgage Reaffirmation Question

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Regular Contributor

Mortgage Reaffirmation Question

I have a question that I can't seem to find the answer to. If you have a mortgage that fell behind before and during Chapter 7 proceedings that you decide to reaffirm, will the payment history start anew from discharge or will they report the delinquencies that occured during the filing? I guess I'm asking for reaffirmations in general. Do they start from that point forward as far as credit reporting?

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Re: Mortgage Reaffirmation Question

If you are current on your loan payments and able to meet future payments, reaffirming informs the lender that you intend to pay the mortgage. This allows you to keep your home during bankruptcy as long as you abide by the terms of the reaffirmation agreement and make the payments. Reaffirming your mortgage ensures communication between you, the bank, and the credit reporting agencies, says Jennifer Brown of Fifth Third Bank. “When you reaffirm, it’s going to alert the credit bureaus that you’re going through a bankruptcy so it looks like you’re paying your mortgage and shows that you have a history of making payments,” Brown explains. Some lenders require borrowers to reaffirm their mortgage in order to have future payments recorded on their credit report.

https://blog.equifax.com/credit/should-i-reaffirm-my-mortgage-debt-after-bankruptcy/ 





My posts are JMHO. My siggy is not to brag at all. Just sharing my experiences after learning here from rebuild to recovery after BK DC @ 540's. And to show fellow members what can be accomplished when you do it right and play the FICO Credit Game.
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Re: Mortgage Reaffirmation Question


@bramma_99 wrote:

I have a question that I can't seem to find the answer to. If you have a mortgage that fell behind before and during Chapter 7 proceedings that you decide to reaffirm, will the payment history start anew from discharge or will they report the delinquencies that occured during the filing? I guess I'm asking for reaffirmations in general. Do they start from that point forward as far as credit reporting?


Remember that this is a mutual choice.  The mortgage lender does not have to reaffirm the loan, especially if it is behind on payments, many will not.  Also, I believe the court can deny a reaffirmation if it believes you will not be able to make the payments in the future.  Maybe someone will correct me with some bankruptcy codes if I'm wrong.



Chapter 7 Discharged & Closed Jan 2020
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