I have a problem and I am not quite sure how to handle it. I have been looking at prequalifying for a mortgage. My scores are in the low 600's. The lender I have been in contact with asked me to send a copy of my Chap 7 papers as I had alot of debts on my credit report showing as CO's that were included in bk. The Chapter 7 was in 2002. I had a used mobile home in 2004 in a mobile home park, not attached to land. in May 2004 after being unable to keep up the payments on it I called the finance company. I tried to work out a payment plan but they would not work with me. So I surrendered the mobile home and moved out because I knew they would repossess it. They came and moved it a month later. About 3 monthes later I received a cancellation of debt on it stating it was sold for what was owed. I received no further contact from them. On my taxes it showed as personal property. I started disputes with the CRA's the 1st week of March. This mobile home company was present on 2 CRA's Exp & Equifax. It is listed as 21st century mortgage. It is listed as a repossession. Last date shown is 12/04. Exp deleted the tradeline 2 weeks later, Equifax has done nothing. It's not marked as disputed by consumer and I have received no correspondance from them. Equifax also shows a 3K balance owed which is incorrect. The lender states they were able to clear all the bk debts up with my bk papers and could do a rapid rescore. However they say the mobile home is an issue because it has not been 3 years yet and it has to be over 3 years to be qualified. It is being looked at as a foreclosure of a mortgage. I have questions: The mobile home was not bought with land and was not permantly affixed to a property. It listed on my taxes as personal property. Is this still considered a mortgage? I had thought maybye it would be a cahtle (sp?) loan? Since Exp deleted this after only 2 weeks I have to think they were unable to verify? If so, should I expect Equifax to be the same? Equifax disputes had to be done through CSC because of my zip code. I can't call them, they list no number. And they are very slow. I just got the results from the name/addy disputes done in Febuary in the mail 2 days ago. Is there anything I can do? Help!! Tegleg
So have you disputed this EQ? If not I would do it by mail. I would think that they would not be able to verify and delete also, but you never know. It doesn't hurt to try. I hope you get it! I will be trying prob in a year or so.(ahhh a home of my own!)
I did dispute it with CSC who is an affiliate of Equifax according to the zip code I am in. I did that March 1st and have seen no changes yet. You raised a good point though, maybye I should send an actual written dispute to Equifax. I sent prehippa letters to Equifax themselves instead of CSC on some medical accounts and they were handled promptly. I have been doing much research on my problem. I checked the online search of the county I lived in and they have no foreclosures documented in my name. Due to the fact they reposessed the home within 30 days of the default leads me to beleive it is not a foreclosure but a repossession. I found recommendations that a letter of explanation may be appropiate as I feel that the repossession can be viewed as negative as a foreclosure since it involved a mobile home which was lived in. My husband had major back surgery in January of that year which caused him to be unable to work and disabled. It was the loss of his income and the lower amount I was making at the time that led to our default. Luckily I have been able to get a better job position and now make alone what he and I did together in 2004. Plus we have savings and some reserves saved also. We are in good shape to get a mortgage except for this debt. I am hopeful that the debt will be deleted like Experian did but I am preparing for it not to be. At worst it will be 3 years old in December and at that time it won't count against me. I can only hope, Tegleg
Maybe mention that the mobile home had a title not a deed and was not on any permanent foundation (after all most are on wheels). Was this an installment loan or a mortgage that you had? If its an installment loan I'd also point that out too. Good luck hope it get resolved quickly and you're in your new home soon)
Pa1205, Thank you! I will add that to the letter I am drafting, it did have a title I remember I thought it strange because it looked just like a car title. It was not permantly affixed to the rented lot, I did include that. It was an installment loan, it lists under the installment loan section of the credit report. I will include that too. Thank you for those tips! Wish me luck! Tegleg
We are in good shape to get a mortgage except for this debt. _ can you explain what you mean about it not counting against you after three years? is that in terms of qual for a mortgage? or overall it not impacting credit score as severely??? thanks " I am hopeful that the debt will be deleted like Experian did but I am preparing for it not to be. At worst it will be 3 years old in December and at that time it won't count against me."
Certainly, It's a FHA mortgage I am trying for, they have requirments for thier applicants, no bankrupcy's in 2 years, no foreclosures in the last 3 years and good credit since. Most people with subpar scores like me can only get qualified for high interest loans, FHA offers decent rates for individuals who have low to moderate income and can meet thier requirments. They require 3% down in most cases. And they don't take your FICO scores into consideration, so it is good for people like me. I did alot of research and decided FHA would prob be best for me as I can't afford a 9-10% interest note. Tegleg
