If someone is not on the note, not on the deed, but on the mortgage documen
If someone is not on the note, not on the deed, but on the mortgage documen
If someone is not on the note, not on the deed, but on the mortgage document, will they be included in a foreclosure proceeding? I have read that if you are not on the note, a foreclosure should not hurt your credit, but then I read that it will be picked up in the public records and will hurt your credit. Can you shed any light on this? Will the bank automatically included all on the mortgage or do they just address the peron on the note and the deed? Or is it the attorneys they send it to who decide this?
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As the person's name is mentioned on the mortgage docs, he/she will be included in the foreclosure proceedings. The foreclosure will have negative impact on the person's credit report. It will lower the person's credit score by around 250 points.
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The person, whose name is on the mortgage, will be responsible in case of foreclosure proceedings. It is absolutely true that if your name is only on the property deed, then the foreclosure won't affect you. However, if your name is mentioned on the mortgage docs, then the foreclosure will have a negative impact on your credit report.