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Mortgage account closed due to Ex’s Bankruptcy

New Member

Mortgage account closed due to Ex’s Bankruptcy

My ex-husband has filed for bankruptcy and DiTech closed my account. How do I get them to reopen my account?


I was 2 months in to my trial modification mortgage program when my ex-husband filed for chapter 13 bankruptcy. My ex is a coborrower on the mortgage. I wasn’t able to refinance to get him off the mortgage because my DTI is too high for Harp. However, I have a quit claim deed giving me ownership of the house, and my divorce decree states that I’m responsible for the mortgage payments. 


My mortgage account is showing up as “terminated” on my credit report. DiTech is telling me that my account will remain closed until his bankruptcy is finished. Does that mean I have to wait 10years before my mortgage will be reported? I also can’t get anyone talk to me about my modifications because the account is marked for bankruptcy.


His bankruptcy hearing is coming up soon. I don’t care if they discharge him from the debt. If I’m responsible for the debt, then my timely payments should also be reported. Any advice on getting them to reopen my account and report my payments?


Message 1 of 3
Senior Contributor

Re: Mortgage account closed due to Ex’s Bankruptcy

Well, because your ex is co-borrower when he filed BK they had to take some action, because as co-borrower all his debts are under the protection of the BK court. But it is strange they report it as "terminated" on your CR, and tell you that the account is closed. They can't try to take payments, because that can be considered an "attempt to collect a debt included in BK", a big no-no. But they still should accept "voluntary" payments - you should write them a check for the payment due, be sure to note the mortgage account #, and mail it to them to keep your payments current. If they're dead serious about the account being "closed" they may return the payment to you, but at least then you have prove that you attempted to keep the account current.


The quit claim gives you sole ownership of the property, but I don't think there is any way to get him off the mortgage unless the BK judge agrees to discharge his co-borrower liability on the mortgage. And when they tell you "the account will remain closed until his bankruptcy is finished" no, that doesn't mean 10 years, it means until his Bk is discharged. A Chapter 13 BK is a repayment plan that takes usually takes 3-5 year to complete for a discharge.


Are you on good enough terms with your ex to ask him if he will ask his attorney what can be done with this mortgage?

Message 2 of 3
Established Contributor

Re: Mortgage account closed due to Ex’s Bankruptcy

I have been going through a very similar situation.   My ex also filed bankruptcy and we were joint on a house.  


It stopped being reported monthly but did not show terminated as yours does.  It just simply did not update.  She filed in Oct and I wasn't able to get it to update until her BK was discharged in like April.  At that point I had to fax them over a letter stating something like I understood that she had filed BK but that I was still making the payments and would like it reported on my credit reports.  


That was like 2 years ago and it did update at the time, but hasn't again for like a year.  I'm sure because in their files it is still flagged BK.  


It's a mess, as it sounds like yours is.  Hopefully once they are discharged from the BK you can get things straight.  Just keep making your payments and that way whenever they decide to update, it will be a bunch of ontime payments.  

Message 3 of 3
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