Posted on: 23rd Mar, 2011 03:04 am
I filed for bankruptcy and my mortgage was discharged. We moved in with family. I (reaffirmed) the debt on the house because we decided that renting it was the only way to make the payments, and we ultimately were trying to hold on to it. It has since become even more of a financial burden. If I return it to the bank (foreclose) can there be any further damage to my credit, (other than the discharge that is already on my report)?
Hi dkallaur!
Welcome to forums!
As you had reaffirmed the mortgage, you have become personally liable for paying the mortgage. If you surrender the property to the lender, the lender will foreclose it which will negatively affect your credit score and you'll be liable for paying off the deficient balance resulting from the property sale.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
As you had reaffirmed the mortgage, you have become personally liable for paying the mortgage. If you surrender the property to the lender, the lender will foreclose it which will negatively affect your credit score and you'll be liable for paying off the deficient balance resulting from the property sale.
Feel free to ask if you've further queries.
Sussane