Foreclosure/Bankruptcy/incorrect credit reporting

[Andrew8910]

Anyone have an answer...

I filed for chapter 7 in 07/2004 and it was discharged 04/2005. I decided to let my house go into foreclosure and included the note in the bankruptcy. The bank put the house up for auction and bought the place back themselves in December of 2004 for the amount of the note (I have a copy of the new Deed). I am okay with this, but the Mortgage Company has reported to the credit bureaus that the foreclosure was pending up until January of 2006. I have tried everything to dispute this. The credit reporting agencies state the creditor has verified the info, and the Mortgage Company has ignored all requests to correct. They actually advise me to talk to their attorneys who handled the Foreclosure, but they say I need to speak to the mortgage company. This is absolutely frustrating...How do I get these guys to fix this!!!!

[SinkingFast]

What State is the property located in?

Different States have different Foreclosure Laws.

Many States allow for a Redemption Period. The time frame for the Redemption Period varies from as little as 20 days to a month, to 6 months, and up to a year in some cases.

During the Redemption Period, even tho the Lender "owns" the house, financially speaking, you have the right to buy it back at any time. Some States specifically say you must pay a lump sum amount. Other States allow for different forms of payment.

Once the Redemption Period lapses, then the Lender can perform and En Rem process where they get the Deed over into their name. At that point, the Lender officially owns the house, but not before.

The Redemption Period is a part of the Foreclosure Process and could be why the CRA's and your past Lender are reporting the way they are. You'll have to check your State's Laws on how Foreclosure works to know for sure.