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When does foreclosure show up on credit reports?

Discussion in 'Foreclosures' started by Arizonan, Oct 25, 2010.

  1. Arizonan

    Arizonan LoanSafe Member

    How soon after a Trustee's Sale does the foreclosure show up on credit reports?
  2. chief115

    chief115 LoanSafe Member

    Almost immediately! Sometimes it shows before the sale ever takes place. Experian will even show you in foreclosure...when you are not...if your payments are 120 days past due. I have fought this tooth and nail and BOA states there is nothing they can do about the way a credit reporting agency codes you. Frustrating to have a foreclosure on your credit report when you have not been foreclosed on.
  3. Strategic_Default

    Strategic_Default LoanSafe Member

    Does it report foreclosure every month? Or is it "foreclosure" the month after "120 days", then stop reporting?
  4. chief115

    chief115 LoanSafe Member

    Nope, foreclosure every month. We are not in foreclosure but that is how we are being reported because we are 120+ behind in our payments. Was told that there is nothing that can be done and that it will drop off in 7 years. They tried to make me feel better by telling me the amount of time will eventually help our score but I don't see how that is possible when they continue to code us as in foreclosure month after month. Once our mod is finalized,we will be listed as current but there is nothing that can be done about the damage that is already there. Our report shows foreclosure since 2008 so we have been hit pretty hard the last 2 years.
  5. Strategic_Default

    Strategic_Default LoanSafe Member

    ugh... I guess that's what I have to look forward to. I will be missing my first payment in 7 days.

    On the bright side, I understand that the foreclosure should be removed from your credit 7 years after the first "foreclosure" hit.
  6. chief115

    chief115 LoanSafe Member

    Experian is the only credit reporting agency that is showing us in foreclosure. Equifax and TransUnion have us at 120 days late. You are right the foreclosure can only stay 7 years but that is a long time especially if you need to rent or buy another home. You definitely have to stay on them and make sure it does fall off after 7 years.
  7. riddlemethisbatman

    riddlemethisbatman LoanSafe Member

    chief, I also had problems with Experian (though not as bad as yours). After CitiMortgage refused to help correct the information they reported ("That's your problem."), I submitted a Qualified Written Request to Citi demanding that they correct what they reported. They sent me a letter I could then submit to Experian showing the corrections. Experian did not even look at the attached documents and letter, saying they only accept electronic info from the lender. I sent it again to Experian. No change. I filed a complaint against Experian with the Federal Trade Commission. Somewhere in there, CitiMortgage did get Experian to correct the record.

    I believe that Experian would be considered liable for refusing to correct your record and should be held responsible for the damages caused to you. You might consider a free one-time consult with an attorney for a legal opinion.

    Anyway, that's my experience---you may have already tried all of this.

    Arizonan, the lender reports every 30 days.
  8. chief115

    chief115 LoanSafe Member

    Thanks Riddlemethis! I will definitely try your route. I agree that there should be corrections on my file but getting a CRA to do anything but list negatives is like pulling teeth. It takes them years to correct their errors but minutes to ruin your credit. Never has made any sense to me and there really should be some laws that are actually enforceable to get the CRA's to do what they are supposed to do. I have always thought 7 years was a long time to leave negatives on your credit report.
  9. riddlemethisbatman

    riddlemethisbatman LoanSafe Member

    Correcting Your Credit Report

    This is certainly lengthy, but all good info. This is from the Texas Attorney General's website:

    Maintaining a good <b style="color:black;background-color:#a0ffff">credit</b> <b style="color:black;background-color:#99ff99">report</b> can translate into quicker loan approvals, lower interest rates and a strong financial foundation. All Texans should periodically examine their <b style="color:black;background-color:#a0ffff">credit</b> reports and take quick action to address any disputes and respond to any inaccurate information.

    Under the federal Fair <b style="color:black;background-color:#a0ffff">Credit</b> Reporting Act, the <b style="color:black;background-color:#a0ffff">credit</b> bureau and any organizations responsible for reporting inaccurate information must <b style="color:black;background-color:#ff66ff">correct</b> errors or incomplete information on <b style="color:black;background-color:#a0ffff">credit</b> reports.

    Texans who discover errors on their <b style="color:black;background-color:#a0ffff">credit</b> reports should send a written dispute letter to the erroneous creditor and all three major <b style="color:black;background-color:#a0ffff">credit</b> bureaus: Equifax, Trans Union and <b style="color:black;background-color:#ffff66">Experian</b>. Because <b style="color:black;background-color:#a0ffff">credit</b> bureaus do not cross-verify information, it is possible that one bureau’s <b style="color:black;background-color:#99ff99">report</b> contains unique errors that are not reported by other bureaus. In some cases, two different bureaus may <b style="color:black;background-color:#99ff99">report</b> two separate but equally inaccurate problems. To ensure errors are corrected in each <b style="color:black;background-color:#99ff99">report</b>, <b style="color:black;background-color:#a0ffff">credit</b> <b style="color:black;background-color:#99ff99">report</b> problems should be disputed in separate letters to individual <b style="color:black;background-color:#a0ffff">credit</b> bureaus.

    Dispute letters seeking corrections should very specifically describe the facts and circumstances surrounding the mistake. Consumers should always provide their full name, address and Social Security number, along with copies of any supporting documentation, such as receipts, statements that verify payment and a copy of the inaccurate <b style="color:black;background-color:#a0ffff">credit</b> <b style="color:black;background-color:#99ff99">report</b> in the letter. Each <b style="color:white;background-color:#880000">error</b> on the <b style="color:black;background-color:#99ff99">report</b> should be circled or highlighted and accompanied by a detailed explanation clarifying why the information is inaccurate.

    To prove that requests for changes are received, dispute letters should be sent by certified mail, return receipt requested.

    Once a <b style="color:black;background-color:#a0ffff">credit</b> bureau is notified of a dispute, it must investigate the items in question (unless it considers the dispute frivolous). The bureau also must forward all the data provided by the consumer to the appropriate creditor. Upon receiving the information, the creditor must review the dispute and <b style="color:black;background-color:#99ff99">report</b> the results back to the <b style="color:black;background-color:#a0ffff">credit</b> bureau. If the reporting creditor discovers the disputed information is inaccurate, it must notify all three <b style="color:black;background-color:#a0ffff">credit</b> bureaus so corrections can be made to the information in the complainant’s file.

    When the investigation is complete, the <b style="color:black;background-color:#a0ffff">credit</b> bureau must provide the results to the complainant in writing, along with a free copy of his or her <b style="color:black;background-color:#a0ffff">credit</b> <b style="color:black;background-color:#99ff99">report</b> if the dispute led to a change. (Note: This corrected <b style="color:black;background-color:#a0ffff">credit</b> <b style="color:black;background-color:#99ff99">report</b> does not count as the consumer’s annual free <b style="color:black;background-color:#99ff99">report</b>.) If an item is changed or deleted, it cannot be put back in a consumer’s file unless the reporting creditor verifies that it is accurate and complete. The <b style="color:black;background-color:#a0ffff">credit</b> bureau also must send the consumer written notice that includes the creditor’s name, address and phone number.

    A creditor who is contacted about a reporting <b style="color:white;background-color:#880000">error</b> must include a notice of the consumer’s dispute if it reports the item to a <b style="color:black;background-color:#a0ffff">credit</b> bureau. If the consumer proves the dispute was accurate, the creditor may not <b style="color:black;background-color:#99ff99">report</b> it to a <b style="color:black;background-color:#a0ffff">credit</b> bureau again.

    If a <b style="color:black;background-color:#a0ffff">credit</b> bureau’s investigation does not resolve a consumer’s dispute, the complainant may request that the dispute be included in future <b style="color:black;background-color:#a0ffff">credit</b> reports. Texans also may ask the <b style="color:black;background-color:#a0ffff">credit</b> bureau to provide the dispute statement to anyone who previously received a copy of the <b style="color:black;background-color:#99ff99">report</b>. Consumers may be required to pay a fee for this service.

    When negative information in a <b style="color:black;background-color:#a0ffff">credit</b> <b style="color:black;background-color:#99ff99">report</b> is accurate, only time and patience can remove it. <b style="color:black;background-color:#a0ffff">Credit</b> bureaus can <b style="color:black;background-color:#99ff99">report</b> accurate negative information for seven years and bankruptcy information for ten years. Information about lawsuits or unpaid judgments can be reported for seven years – or until the statute of limitations expires, whichever is longer. Generally, the time period runs from the time the event occurred. There is no time limit on reporting criminal convictions.

    If a <b style="color:black;background-color:#a0ffff">credit</b> reporting agency or creditor <b style="color:black;background-color:#ff9999">refuses</b> to <b style="color:black;background-color:#ff66ff">correct</b> inaccurate, incomplete or outdated information, consumers should file a complaint with the Texas Attorney General’s Office or the Federal Trade Commission.

    HOW TO <b style="color:black;background-color:#ff66ff">CORRECT</b> A <b style="color:black;background-color:#a0ffff">CREDIT</b> <b style="color:black;background-color:#99ff99">REPORT</b>

    Texans who detect inaccurate, incomplete or outdated information in their <b style="color:black;background-color:#a0ffff">credit</b> reports should contact the organization that provided the information and the three major <b style="color:black;background-color:#a0ffff">credit</b> bureaus:

    P.O. Box 740241
    Atlanta, GA 30374-0241
    (800) 685-1111 • Credit Reports, Credit Scores & Identity Theft Protection from Equifax

    <b style="color:black;background-color:#ffff66">Experian</b>
    P.O. Box 2104
    Allen, TX 75013-2104
    (888) 397-3742 • www.<b style="color:black;background-color:#ffff66">experian</b>.com

    Trans Union
    P.O. Box 390
    Springfield, PA 19064
    (800) 916-8800 • TransUnion - Check Your Credit Report and Credit Score Online, Instantly and Securely

    To obtain a free annual <b style="color:black;background-color:#a0ffff">credit</b> <b style="color:black;background-color:#99ff99">report</b>:
    Annual <b style="color:black;background-color:#a0ffff">Credit</b> <b style="color:black;background-color:#99ff99">Report</b> Request Service
    P.O. Box 105281
    Atlanta, GA 30348-5281
    (877) 322-8228 • www.annualcreditreport.com

    For more information on the Fair <b style="color:black;background-color:#a0ffff">Credit</b> Reporting Act:
    Federal Trade Commission
    600 Pennsylvania Ave, NW
    Washington, DC 20580
    (877) 382-4357 • Federal Trade Commission
    Information on this and other topics is available
    on the Attorney General’s Web site
    at www.texasattorneygeneral.gov.
  10. chief115

    chief115 LoanSafe Member

    Thanks for all the info! I will be filing a report with Greg Abbott's office and the FTC if this does not resolve itself after my last dispute. I really don't see BOA doing anything correct. I have filed a complaint about our loan mod saga with the attorney general and OCC and I'm still waiting on a response from them. The attorney general did send a general form letter stating if they needed additional info they would contact me. Haven't heard anything yet but hopefully it is because there are so many complaints about mortgage companies right now. I did have luck with them before so hopefully they are not blowing me off. Not looking for anything from the OCC, as I'm sure they have heard and seen it all but I won't go down without someone hearing me.
  11. Arizonan

    Arizonan LoanSafe Member

    Hmm, my house already had the Trustee's Sale. I just updated all 3 credit reports. My secondary loan serviced by SLS shows as 120 days late for the past 2 months, but mentions nothing of foreclosure. My primary loan was serviced by Chase right up until the foreclosure proceedings started, and a week later they transferred or sold it to, also, SLS. Now here's the thing, Chase shows 60 days late on my primary loan, then it says it's closed due to sale or transfer. Now, since then, my primary loan doesn't show on my report, i.e.-- after the transfer, a new credit report was never entered for the now transferred/sold primary loan, and therefore I don't have any foreclosure listing anywhere on my report.

  12. mattv

    mattv LoanSafe Member

    I just had the same thing happen did it finally show up on your credit report??


  13. TomEason

    TomEason LoanSafe Guide Staff Member


    Thanks for your post.

    Apparently the information furnishers (creditors) are running a little behind, but it's likely the FC will soon be reported and will appear in your credit file.
  14. mattv

    mattv LoanSafe Member

    They sold my loan at the beginning of this month then Fannie bought it at auction for full price last Friday I just checked my credit report and my score jumped from 684 to 760 on ex one west reported ok for this month I'm confused

  15. Evan Bedard

    Evan Bedard Call 1-800-779-4547 Loan Safe Mortgage

    Hello Mattv,

    It could very well be another 2 weeks or more before your credit report is fully updated following the foreclosure. We've seen it take well over a month in many cases, as Tom said the creditors are definitely running behind. Have you been offered any money for C4K to leave the property in a tidy and timely fashion?
  16. mattv

    mattv LoanSafe Member

    Ok I hope it gets lost lol.. I was just very susprised at the jump in my credit I should apply for the line of credit I want for my business now..

    As for the cash for keys I haven't talked to Fannie yet but on their site it says that if you foreclosure you don't get cash for keys but I want any money's I can get!

    Thanks for everyone's help!!!!

    QUOTE=Evan Bedard;504642]Hello Mattv,

    It could very well be another 2 weeks or more before your credit report is fully updated following the foreclosure. We've seen it take well over a month in many cases, as Tom said the creditors are definitely running behind. Have you been offered any money for C4K to leave the property in a tidy and timely fashion?[/QUOTE]
  17. Evan Bedard

    Evan Bedard Call 1-800-779-4547 Loan Safe Mortgage

    I take it you haven't been served any papers by an agent? Cask for keys is certainly available after foreclosure, regardless if your loan is backed by Fannie Mae or Freddie Mac..

    Here is common property expectation checklist to receive Cash for Keys:

    -Interior of property must be clean of debris, including cupboards, carpets, floors and bathrooms cleaned, garage, rafters and basement

    -Exterior of property and yard must be clean, no external trash around yard, including no overflow of trash/personal items in trash cans. All outbuildings must be free of debris.

    -All light fixtures/ceiling fans, doorknobs, closet shelving are to remain attached in the property and must not be removed. (Receipts must be provided for items being removed. Also any fixtures being removed must be replaced with an equivalent fixture.)

    -All built in appliances must remain on the property (stoves, ovens, built in microwaves, if any, dishwasher, garbage disposal and water heater). Refrigerator and washer/dryers are personal items and may be removed. (Receipts must be provided for newly purchased appliances.)

    -All keys, including mailbox keys, and garage remote controllers if any, must be handed over at the time of final inspection.

    -Any exceptions regarding the above referenced items require prior approval to final inspection and receipt of relocation assistance check.
  18. mattv

    mattv LoanSafe Member

    Just got the agent notice on the door what's a good number to shoot for I have a friend who rents a room also the loan amount was 343k I think 375 with fees it's Fannie Mae who bought it back


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