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How to clean up late payments from a mortgage

Posted on: 05th Oct, 2010 12:10 pm
We stopped paying on a mortgage for 2 reasons.
1) Couldn't afford the house after I was relocated to another state.
2) The mortgage company wouldnt' consider our short sale until we couldn't pay on the home.

We finally soldd the home on a short sale. How do I clean up the late payments from our credit report?

Thanks
Hi shawnamyquinn,

The late payments will remain on your credit report for the next 7 years like any other negative item. This will not be removed from your credit report prior to that. However, you can request your lender to negotiate with the credit bureau and remove the items as you've short sold the property and paid off the dues. It will be the lender's discretion whether or not he will do so.

Thanks
Posted on: 06th Oct, 2010 12:18 am
Lenders don't really "negotiate" with the credit bureaus. However, they do have the ability to simply not report the late pays. You could try sending a letter to your lender requesting some goodwill, but they don't have to do anything. Since the late pays were legitimate, they could stay on your reports for up to 7 years.
Posted on: 06th Oct, 2010 10:15 am
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