We have completed our CH13 and it finally appears that the trustee has filed the final accounting and our discharge is scheduled for the 1st week of Sept. We have been renting due to the fact that when we filed our CH13 we surrendered our home. Now we are dealing with the fallout of this. Because we were never advised to do other wise the stay was lifted and the house foreclosed and sold. In the final accounting the property is listed as surrendered and still appears as part of the CH13 BK. Our problem is that no one is able to give us a mortgage because our previous mortgage company is reporting only the foreclosure and late payments past the date of filing when we surrendered the property.
The mortgage company is using the lifting of the stay and the foreclosure to not report the surrender as being part of the CH13 bankruptcy. Is this allowed? Do we have any hope of fighting the way this is reported? All the underwriters care about is what is in the credit report. The fact that we can show them documentation showing that the house was surrendered within the CH13 BK does not matter.
The mortgage company is using the lifting of the stay and the foreclosure to not report the surrender as being part of the CH13 bankruptcy. Is this allowed? Do we have any hope of fighting the way this is reported? All the underwriters care about is what is in the credit report. The fact that we can show them documentation showing that the house was surrendered within the CH13 BK does not matter.
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