Ran Credit Score, have question... and some good news

[PhillyGuy]

I ran my Experian credit report and score today and the current score is 716 which I was very happy with. But looking at my mortgage (reaffirmed) which I have never stopped paying and was never late, the last three months it has a KD - Key Derogatory. Why would this show up if I have been making all my payments and never late, I actually pay a little more each month then the min. I am assuming once my case officially closes that KD will be updated to current or OK. My car which was included in the BK7 and also reaffirmed shows current - ok for all payments. Anyone else run into this?


I sat down with my trustee since they received the asset check, and he told me my case would not be closed until they see if I get another asset check next year. Come to find out, I will not receive another asset check next year, so hopefully once the assets are distributed, the process of closing my BK7 officially can proceed.

[Floridagail]

That is great. My car was reaffirmed in 2009 , but GMAC refused to correct my credit report. It showed negative . I was never late and paid it off. I finally after disputing with all 3 credit bureaus for about 6mos, they just removed the account all together.

[keepsmiling]

No answer for you q, but a q back for you...
Are they doing something with that extra money? Occasionally you hear that post bk, that extra cash is sitting in limbo somewhere and hasn't been applied. You might want to double check.

[Pjmax]

Just so you are aware, your EX score is not a FICO, so don't count on it too much. Your actual score that a lender would see may be quite different. You can't purchase an EX FICO score. You can purchase TU and EQ FICOs from MyFico.com, but also be aware, they may not be the same model that a particular lender would use.

[df04527]

Your mortgage is showing accurate as a derogatory because it was, in fact, included in your BK regardless if you have been paying or not. To show it as anything else could land them in trouble as it could be considered, in the eyes of the law, as an attempt to collect on a discharged debt. They won't change it. The car showing positive consider yourself lucky because it should also be showing as a derogatory.

Don't waste your money buying scores. Complete and total waste of money as those scores mean nothing as a gauge of how you are doing in the rebuild process. Lenders have their own algorythms they use to calculate your risk score albeit based from the bureau scores.

hth

[IBroke]

Your mortgage is showing accurate as a derogatory because it was, in fact, included in your BK regardless if you have been paying or not. To show it as anything else could land them in trouble as it could be considered, in the eyes of the law, as an attempt to collect on a discharged debt.

But if I read the OP's post correctly, it was stated that the mortgage was reaffirmed. If that's the case, it wasn't discharged. One of the few reasons why people actually reaffirm is the credit reporting on said debts/accounts. On non-reaffirmed accounts, the credit-reporting ends at the date of filing with an "IIB"-notation. On reaffirmed accounts, the payment reporting usually continues. It wouldn't make much sense even if reaffirmed, current and never late accounts would be considered "derogatory", too.

[IBroke]

I ran my Experian credit report and score today and the current score is 716 which I was very happy with. But looking at my mortgage (reaffirmed) which I have never stopped paying and was never late, the last three months it has a KD - Key Derogatory. Why would this show up if I have been making all my payments and never late, I actually pay a little more each month then the min. I am assuming once my case officially closes that KD will be updated to current or OK. My car which was included in the BK7 and also reaffirmed shows current - ok for all payments. Anyone else run into this?

I'd keep a close eye on this. Do I assume correctly that they didn't report your post filing payments? As df04527 noted correctly, creditors stop reporting on accounts IIB once you have filed and add a notation "IIB" to your account which can already turn an account into a derogatory tradeline.

HOWEVER, once your case is wrapped up and closed and your reaffirmation on your mortgage goes into effect, credit reporting should continue and the account should show your payments again. Also, the IIB-notation should be removed as well.

http://www.experian.com/ask-experian...ed-sooner.html

"Reaffirmed accounts should not appear as included in bankruptcy and can contribute to rebuilding your creditworthiness over time as you build a history of making on time payments."

This quote, BTW, is coming directly from Experian.

[PhillyGuy]

I filed in Nov 12, Discharged in Fed 13, still waiting for asset distribution. So currently I am discharged but waiting for my case to close. But my car payment history has been reporting to the credit bureaus the whole time. Now the mortgage payments were current until Feb when I was discharged. So I am assuming that it will say KD until my case is closed and the reaffirmation takes place, then it will be changed to ok or current since I have been making the payments.