Interesting conversation with mortgage company-we are "fair" game, all is enforce?

[basketsbears]

Hi,

As my previous post said I kept getting cancelled at work so only had one 8 hour shift for month of October. Anyway, my husband wanted me to call mtg company and see about "extending" payment for Nov. 1. We have never been late, don't think I've ever paid a late fee. We didn't reaffirm, and BK was discharged in October.

So, I finally spoke to the loan officer, and he explained, late after 17th & will need to pay late fee, if after 11/30, will be reported to credit bureau. I said, we didn't reaffirm and I didn't think they could report anything about my payments - good or bad. He said, their bank doesn't reaffirm. After discharge, "everything is fair game" and they report and everything once DC is done. I told him I really just called to see about payment, not to debate about the actual mortgage. My understanding from what he said is, the note is exactly like it was before the BK and that they will report and do everything as before if we would be delinquent. I realize the note is same terms, etc and if we don't pay they can foreclose. But I didn't realize they could start reporting, etc. He just said now "all is fair game" now that the discharge is over. Kinda scary! I kept saying I didn't reaffirm and he said it didn't matter one way or another (like I said before, their bank doesn't reaffirm mortgages).

Anyway - I thought if we didn't reaffirm one of the "downsides" was they would not report payments (thinking good payment history). Can they go back to reporting just like they did before BK?

Thanks! Sorry so long.

Lynn

[tobee43]

if the mortgage was listed and discharged, he's full of crap. but then again most of those that work at those banks are. errrrr....they make me really angry. like they have all the power.

you have nothing to worry about anyway on credit...you have bk...

[basketsbears]

Thanks! We are planning on paying hopefully by 30th, but I was confused after talking with him. Especially the part that it's like the BK never happened. I had never talked with anyone at the bank cuz always pay on the 2nd thru bill pay as DH gets paid on first.

Also, I was curious when he said their banks doesn't reaffirm. Does that make sense?

This is a new learning experience for sure!

[LadyInTheRed]

It makes sense that a bank's policy may be not to enter into reaffirmation agreements. But, that is irrelevant to whether or not they can report late payments on a discharged debt. I agree with Toobee43. The person you were talking to didn't know what he was talking about. If they do report a late payment, write them a letter telling them they are in violation of the court's permanent injunction and insist they correct the report.

[basketsbears]

[stumpy579]

My bk was discharged in dec. 2005. I recently checked my credit report on transunion and it shows my mortgage being reported as if the bk never happened. It shows the company(boa) and the remaining balance and on time payments from 2006 to present. When i filed bk my mortgage was with countrywide but they were bought out by boa after my bk. Is it possible they do not know my mortgage was discharged? I know i did not reaffirm. I check on pacer and countrywide was on the list of creditors no reaffirmation. Has anyone else had thier mortgage still being reported this way after bk? I have not tried to get it changed because it is not hurting me but it seems wrong. I called boa about a refi because my interest rate is 7% and they are willing to fefi to a nuch lower rate and they made no mention of the bk. If i refinance i assume i can no longer just walk away? I'm just wondering why they report it this way?

[btbeme]

My bk was discharged in dec. 2005. I recently checked my credit report on transunion and it shows my mortgage being reported as if the bk never happened. It shows the company(boa) and the remaining balance and on time payments from 2006 to present. When i filed bk my mortgage was with countrywide but they were bought out by boa after my bk. Is it possible they do not know my mortgage was discharged? I know i did not reaffirm. I check on pacer and countrywide was on the list of creditors no reaffirmation. Has anyone else had thier mortgage still being reported this way after bk? I have not tried to get it changed because it is not hurting me but it seems wrong. I called boa about a refi because my interest rate is 7% and they are willing to fefi to a nuch lower rate and they made no mention of the bk. If i refinance i assume i can no longer just walk away? I'm just wondering why they report it this way?

This should be a new thread; however, the simple answer is that banks get reporting wrong all the time. Their reporting the mortgage this way works to your advantage credit-score wise, but it does not change anything regarding your liability - or lack thereof - for the loan (so long as you did not reaffirm).

[btbeme]

I kept questioning him about the reporting after he said that, and he said "let me check" and put me on hold. When he came back was when he said that I had it backwards, that once discharge was over everything was fair game and it was as if the was no BK. he probably just sat there and didn't check with anyone when I was on hold! ������

Yup. Lots of people get this wrong all the time. Especially when dealing with houses, for whatever reason.