credit drop again?

[florida]

Quick question - maybe from someone who has experienced this already?

We were discharged from bk7 May 2010, incl our home.

Our home hasn't even started the foreclosure process yet. We were thinking of doing a deed in lieu, just to end this chapter of our life.

However - will our credit take another hit once this is done?
We have spent the last year rebuilding and I'd hate to see it fall.

Thanks for any info.

[tobee43]

it really shouldn't. did you surrender your home in the bk??? if so, it really doesn't matter about the foreclosure, it shouldn't be added, and even if it were, your bk stays on for 10 years and a foreclosure for 7. i'm certain the info about your mortgage is already on your credit report showing or should be showing up as IIB. and, if that's what it says and they put the foreclosure on there i would fight to have it removed anyway, since the mortgage was included in the bk and anything the lender did with it after you were discharged should not effect you. although, sometimes it does show up.

really, the best healing for your credit is TIME...time between your discharge date and the present. time really does heal all wounds

[florida]

Our mortgage is still showing "paid as agreed" - balance 0 - 1 year later.

....very strange - I know.

That's why I'm curious if it might take another hit once the actual foreclosure actually happens.

[df04527]

Are you looking at a direct bureau report to determine that? The reason I ask is because it's showing a zero balance which tells me it is IIB and just may not say that in the comments section. Some 3rd party re-sellers don't do a very good job at displaying all the information.

[florida]

Just recently pulled all 3 reports - and yes, all say the same thing.

I wish there was a way to "know" if we'll receive another drop...

[paystayFla]

Just recently pulled all 3 reports - and yes, all say the same thing.

I wish there was a way to "know" if we'll receive another drop...

You should contact the bank and ask them to fix the record. Have it reflect accurately that the mortgage was IIB. Also, I advice against letting the home go into foreclosure even if it was IIB, Try a short sale. It can be done after CHpt 7 and will prevent a public foreclosure record with your name which will be helpful when you try to buy again. Without the foreclosure you could buy again after 3 or 4 years at decent rates. Even if the foreclosure record is not in your credit report and doesn't affect your score it will be pulled by an underwriter. So you may pre-qualify but will likely be denied once the full application is filed.

Everything I write is based on my own personal experience.