Credit Inquiries from Existing Creditors

[scoobysteve]

My second mortgage has been charged off but I notice they keep pulling my credit with a hard inquiry every 3 months or so. Can they do this and is there a way to stop them? I'd imagine they're trying to get as much information about me as possible.

[Evan Bedard]

My second mortgage has been charged off but I notice they keep pulling my credit with a hard inquiry every 3 months or so. Can they do this and is there a way to stop them? I'd imagine they're trying to get as much information about me as possible.

Hey Scoobysteve,

Has your first mortgage gone into foreclosure? And what state is your property located? Also are you underwater (ie owe more on your mortgages than your home is worth)?

[scoobysteve]

Hey Scoobysteve,

Has your first mortgage gone into foreclosure? And what state is your property located? Also are you underwater (ie owe more on your mortgages than your home is worth)?

No...I've been able to keep my first current (barely). I'm located in your state and 100% underwater on the 2nd.

[Evan Bedard]

Ok, well your second is in no position to pursue you for the amount owed or initiate foreclosure on your property.. I'm assuming they are pulling your credit to find out the status of your first mortgage and to see when it goes into foreclosure.. I would suggest writing a letter to your second mortgage holder and request that they stop making hard inquiries on your credit report as the loan has already been charged off.. Also they are more than likely gonna want to discuss a settlement on this loan soon as it is the only way for them to recoup some of their losses..

[scoobysteve]

Ok, well your second is in no position to pursue you for the amount owed or initiate foreclosure on your property.. I'm assuming they are pulling your credit to find out the status of your first mortgage and to see when it goes into foreclosure.. I would suggest writing a letter to your second mortgage holder and request that they stop making hard inquiries on your credit report as the loan has already been charged off.. Also they are more than likely gonna want to discuss a settlement on this loan soon as it is the only way for them to recoup some of their losses..

Thanks Evan. I actually posted another thread in the "tell your story" forum about my trials, thus, far with my 2nd. They do seem to want to settle but thus far the best offer they've sent me was about 40%. Unfortunately, I don't have that kind of money. I don't like the idea of them running hard inquiries for 2 reasons: 1 it negatively affects my score (which is finally improving slightly) 2. I'm afraid the fact that I'm not delinquent on the first or my two other consumer debt accounts could hurt my ability to negotiate the settlement.

[Evan Bedard]

Thanks Evan. I actually posted another thread in the "tell your story" forum about my trials, thus, far with my 2nd. They do seem to want to settle but thus far the best offer they've sent me was about 40%. Unfortunately, I don't have that kind of money. I don't like the idea of them running hard inquiries for 2 reasons: 1 it negatively affects my score (which is finally improving slightly) 2. I'm afraid the fact that I'm not delinquent on the first or my two other consumer debt accounts could hurt my ability to negotiate the settlement.

I'm assuming you meant 40% offer when you put 40&.. That is definitely way more than anyone should accept for a settlement on their second especially when this far underwater.. We have many people here that were successfully able to settle for 5-20% of the remaining balance. The fact that you are current on your first mortgage is not going to make much of a difference as far as your ability to negotiate a settlement goes.. Again your second is in no position to do anything at this point and eventually they are going to agree to a lower settlement.. Here I suggest taking a look at these two threads in the forum, there is a ton of great information and strategies into getting this accomplished.

Strategy for Settling Your 2nd

Success Stories in Settling 2nds