Foreclosure & Bankruptcy - FICOs

[onlineuse]

I've done a lot of searching here and couldn't find threads I knew I've read previously

We were discharged a few weeks ago. I now have all 3 CRAs reporting the mortgage as IIB/no balance due which is I believe correct as we surrendered the house in CH7. FINALLY I think the ball is rolling on the foreclosure and I believe the complaint has been filed. My scores have meddled back up to about 600 on average, how much of a hit will they take with the foreclosure coming?

I'm hoping the gap between the two is small, IE with it coming with 1 to possibly 3 months of the 7 discharge will it be considered together hopefully? IE, will I see a tremendous hit again or will I see a modest/no hit?

It took almost 10 months best I can tell, bordering on 11 for action to be taken here in a non-judicial state. The market is a bloodbath right now so that's not a real surprise.

[HHM]

Unfortunately, it is difficult to say how the foreclosure will affect you score. However, when a creditor subjectively evaluates your credit report and sees a BK and foreclosure close together, and sees that the mortgages are IIB, they will know what happened and will treat it as a single hit. But FICO scoring is mathematical, so I don't know exactly how the formula will treat the two events.

No one seems to stick around the forum long enough, or monitors their credit report closely enough to report what happened to their FICO score once the foreclosure hit their report after a BK. So, perhaps you will be our test case.

If I had to guess, your scores will probably drop a little bit, they may even drop below 600 for a time, but that is just a wild guess.

[BK'd-Betty]

I can't tell you how much my score dropped when the Foreclosure hit the credit report (because I wasn't watching my credit reports at the time) - however, I can tell you that I successfully got the Foreclosure removed and now it just reports as IIB with a 0 balance
(I actually got the entire mortgage REMOVED from TU due to incorrect reporting - lates after filing date, balance due, etc.)

Scores went up, but not by much, 20+ points. However, since the Foreclosure was removed, I've been getting more (towards) prime credit card and car loan pre-approvals in the mail, and before I was only getting deep subprime.

[onlineuse]

My mortgage was still showing 180 days past due, mostly from lates AFTER the filing date. It took 4 months to get it corrected with Experian.

I'll keep everyone posted.

[onlineuse]

2 months out the real FICOS are around 620, spouses 680 (no mortgage). Amazing really. Spouses scores at 680 include plenty of IIB with a few IIB/CO's.

I am being hurt by the mortgage continually bouncing from IIB to Late 120 days. We long ago moved out of the house and had not paid since late spring 2006. We are in a non-judicial state where they could have foreclosed in 90 days. We are coming close to a full year with nothing.

Spouses credit scores are higher today then in any of the past 10 years when the worst she ever had was a few 30 day lates. There has been no trickery or deletions of BK from the report, we have just been steadfast in slowly but steadily rebuilding credit by keeping our utilization low and paying on time. I should surpass 620-630 in the next 30 days on average and the spouse should break 700 within 2 months.

I have no secured cards and was approved instantly for low limit cards from the main subprime banks. In the last two weeks I have gotten approvals from the "just under prime" banks for limits approaching 1,000. Now it is just time to let them age and pay on time.

Best word of advice I can give is try to get back to 4 clean reporting lines as soon as possible.