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Bankruptcy and foreclosure

Posted on: 14th Dec, 2010 03:52 pm
Due to a serious untoward illness and four downsizes in our professions, we filed bankruptcy and included our home in the bankruptcy. We did NOT reaffirm, and were discharged from the debt over two years ago. However, the bank still has not reposessed the home, have not foreclosed on it to date. My question is, since the debt was discharged two years ago, when the bank finally takes the home, will that be on our credit also and will this further delay bringing our credit up to par? It could take the bank some time before they catch up to it. We've worked so hard to repair our credit so that we can rebuild our lives and obtain another home, but we fear when the bank decides to come after the home and foreclose, this will further damage our credit and we will not be able to get a loan for a new home for four years AFTER? No one seems to be able to answer this for us. HELP!
Hi bjschenck,

Though the mortgage was discharged in your bankruptcy filing, if the property is foreclosed by the lender, it will be mentioned in your credit report. This may have a negative affect on your credit score.

Thanks
Posted on: 14th Dec, 2010 07:25 pm
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