From 800+ to Foreclosur​e - How Negatives Affect Your Score

[iv]

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@JagerBombs89 wrote:

Thanks for the insight Revelate as I completely forgot about bucketing. 

So on a unrelated note, I have been debating taking out a student loan.  My final school year will be the 2015-2016 sessions as I should be a graduate this time next year.  Both the original mortgage and refinance mortgage (foreclosure) are being reported as closed, no open auto loan, and no open personal loans.  Here are a couple background points I could use some thoughts on:

1)  I don't need the loan for the money.  It would be a federal subsudized loan so my understanding is it would be 4.29% interest and I wouldn't have to start making payments until 6 months after graduation.  In the mean time, the government pays all the interest until repayment starts.  Have I interpretted this correctly?

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That's how a Federal Direct subsidized loan works, yes....

...but the subsidized loans are based on NEED.  (Use FAFSA4caster to check eligibility.)

If, as you've said, you don't need the loan for the money, then you'd be getting the unsubsidized version - and will be on the hook for the interest starting day one.  (You can still defer any payments/interest until graduation, but the interest will be tacked onto the principal.)

[JagerBombs89]

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@iv wrote:

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@JagerBombs89 wrote:

Thanks for the insight Revelate as I completely forgot about bucketing. 

So on a unrelated note, I have been debating taking out a student loan.  My final school year will be the 2015-2016 sessions as I should be a graduate this time next year.  Both the original mortgage and refinance mortgage (foreclosure) are being reported as closed, no open auto loan, and no open personal loans.  Here are a couple background points I could use some thoughts on:

1)  I don't need the loan for the money.  It would be a federal subsudized loan so my understanding is it would be 4.29% interest and I wouldn't have to start making payments until 6 months after graduation.  In the mean time, the government pays all the interest until repayment starts.  Have I interpretted this correctly?

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That's how a Federal Direct subsidized loan works, yes....

...but the subsidized loans are based on NEED.  (Use FAFSA4caster to check eligibility.)

If, as you've said, you don't need the loan for the money, then you'd be getting the unsubsidized version - and will be on the hook for the interest starting day one.  (You can still defer any payments/interest until graduation, but the interest will be tacked onto the principal.)

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My personal assessment was that I don't need the loan, mainly attributed to having $0 in debt, however I have already qualified for such from my school.  The fact that I use veteran's benefits to pay for education is not a factor into determining need.  Thus if I did not have those benefits, then my personal assessment would be the opposite. 

[JagerBombs89]

Wow, almost 6 weeks have gone by since I posted any updates; how the time has passed!  Well, here are the latest stats for August!

FICO Scores as of 07/2015 - 1 Month Post-Foreclosure                                       ​         

Equifax 08 - 682               Experian8- 665            Trans 08  - 674

Equifax 04 - 662

FICO Scores as of 08/2015 - 2 Months Post-Foreclosure                                       ​         

Equifax 04 - 664               Experian8- 665            Trans 08  - 677

[Anonymous]

Glad things are holding steady or slowly inching up for you. Keep your head up and keep us updated buddy. 

[EW800]

Appreciate these updates and so pleased that you are still moving upward. Not a bad recovery at all!!

[Anonymous]

I confess that I haven't read all 13 pages of posts here but I wanted to first thank you for your service and second congratulate you on your decision to finish your degree (I did 4 active duty 2 reserve and didnt finish by BA until 30 and MBA at 39).  We had to go through forclosure in 2009, it was very stressful but I responded poorly by giving up on my credit and not managing it.  Your doing the right thing, this post is like reading what I should have done.  Got to go and read these 13 pages.

[JagerBombs89]

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@EW800 wrote:
Appreciate these updates and so pleased that you are still moving upward. Not a bad recovery at all!!

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I think from here I will only be seeing a couple point per month.  Hopefully a bigger bump once January comes around and I hit the 1 year mark!

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@Anonymous wrote:

I confess that I haven't read all 13 pages of posts here but I wanted to first thank you for your service and second congratulate you on your decision to finish your degree (I did 4 active duty 2 reserve and didnt finish by BA until 30 and MBA at 39).  We had to go through forclosure in 2009, it was very stressful but I responded poorly by giving up on my credit and not managing it.  Your doing the right thing, this post is like reading what I should have done.  Got to go and read these 13 pages.

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I kinda wish I did more schooling while I was in so I didn't have to do as much when I got out though.  However, when I re-enlisted the first time, I got 6 months off of work to go to school full time.  Not sure if I want to go for my Masters yet but it'll be nice to be done with school in 9 months!

[JagerBombs89]

Just wanted to say I got a $5,000 CLI on my Discover card today!  Posted details in the Approval section: http://ficoforums.myfico.com/t5/Credit-Card-Approvals/Despite-recent-foreclosure-massive-Discover-CL...

[Anonymous]

Sorry to hear about your hard times. Thanks for the great information you shared.

Chazz

[JagerBombs89]

Scores have been updated on the original post - absolutely no change from the prior month!

On a side note, TU is reporting my mortgage (foreclosure) account is estimated to be removed on 11/2021 while EQ is reporting DOFD as 12/2014.  Does this mean the entire account gets deleted at the 7 year mark from DOFD?  I thought I remember reading that lates are removed at their respective 7 year mark, but I think that may only be for open accounts?  And since this account is closed and negative, it won't report for the entire 10 years but rather be removed at 7 year mark.  Is this right?