Posted on: 12th Oct, 2009 12:29 pm
Back in 2001, my wife and I filed chaper 7 and signed the intent document to reaffirm the mortage. The bankruptcy was discharged and we stated taking steps to rebuild our credit.
A few weeks ago, we went to a local bank to try and refinace our house loan and combine our credit card payments (thus lowering our monthly payments).
When the Loan Officer ran our credit reports, one credit bureau showed our mortgage as an active bankruptcy and two other credit agencies didn't show the mortgage.
The Loan Officer told us to get the credit report updated and we would not have any problems with refinacing since the bankruptcy has been discharged. We were under the impression the reaffirmation had been taken care of.
We contacted our current mortage company and received a reply from them indicating that since the reaffirmation was not done prior to the bankruptcy discharge we would have to reopen the bankruptcy and then sign a reaffirmation.
We spoke with our attorney who advised that prior to the bankruptcy, he submitted the reaffirmation paperwork to the old mortage company and never heard back from them. The mortage was than sold to our current mortgage company (they're the ones still reporting it as an active bankruptcy).
My question is how do we get the active bankruptcy removed from our credit report to reflect we are not in an active case and it was discharged albout eight years ago?
Will it take having the bankrupcy case re-opened and then the morgage reaffiamred? Does the mortage company have to allow us to reaffirm the mortgage? We've have continually paid the mortgage on time to both mortgage companies since it was discharged. If it helps, we filed in Kansas
A few weeks ago, we went to a local bank to try and refinace our house loan and combine our credit card payments (thus lowering our monthly payments).
When the Loan Officer ran our credit reports, one credit bureau showed our mortgage as an active bankruptcy and two other credit agencies didn't show the mortgage.
The Loan Officer told us to get the credit report updated and we would not have any problems with refinacing since the bankruptcy has been discharged. We were under the impression the reaffirmation had been taken care of.
We contacted our current mortage company and received a reply from them indicating that since the reaffirmation was not done prior to the bankruptcy discharge we would have to reopen the bankruptcy and then sign a reaffirmation.
We spoke with our attorney who advised that prior to the bankruptcy, he submitted the reaffirmation paperwork to the old mortage company and never heard back from them. The mortage was than sold to our current mortgage company (they're the ones still reporting it as an active bankruptcy).
My question is how do we get the active bankruptcy removed from our credit report to reflect we are not in an active case and it was discharged albout eight years ago?
Will it take having the bankrupcy case re-opened and then the morgage reaffiamred? Does the mortage company have to allow us to reaffirm the mortgage? We've have continually paid the mortgage on time to both mortgage companies since it was discharged. If it helps, we filed in Kansas
hi grisson!
welcome to forums!
if the reaffirmation agreement was not signed when you were in bankruptcy, then you will have to reopen the case and reaffirm it. you need to contact your bankruptcy attorney regarding this. it would have been better if your bankruptcy attorney have taken the initiative and contacted the lender when he send the reaffirmation agreement to them. you will not be able to remove the active bankruptcy from your credit report unless you settle the dues with the lender. also, you should note that without the reaffirmation, the lenders will not be ready to refinance your loan.
to know about chapter 7 bankruptcy, check out the given page:
http://www.mortgagefit.com/bankruptcy/chapter7.html
feel free to ask if you've further queries.
sussane
welcome to forums!
if the reaffirmation agreement was not signed when you were in bankruptcy, then you will have to reopen the case and reaffirm it. you need to contact your bankruptcy attorney regarding this. it would have been better if your bankruptcy attorney have taken the initiative and contacted the lender when he send the reaffirmation agreement to them. you will not be able to remove the active bankruptcy from your credit report unless you settle the dues with the lender. also, you should note that without the reaffirmation, the lenders will not be ready to refinance your loan.
to know about chapter 7 bankruptcy, check out the given page:
http://www.mortgagefit.com/bankruptcy/chapter7.html
feel free to ask if you've further queries.
sussane