What will Happen to my credit report on a short sale of my home. Is forclosure or Bankruptcy better.?
453879
You and your credit score and not going to win on this one. Go to the lender immediately. Talk frankly with them...they may offer you options, they may not. But it cannot hurt, and it well may help. The lender will NOT want you to file bankruptcy unless they hold a deed of trust. IF they hold a simple mortgage, the property will be tied up for at least 6 months, maybe more. They may be very lenient with you to avoid the problems associated with bankruptcy. Even with a Deed of Trust, Bankruptcy throws a serious wrench into the foreclosure process. Talk to them, not us...they have better answers than we do. Either way, don't plan on your credit score to be very high for many years...up to 7. You can carefully rebuild your credit, but a filing of bankruptcy may live on longer than 7 years, considering the changes in bankruptcy laws last year. In fact, you may not be able to claim bankruptcy because of the changes in the law. Check it out with an attorney and the lender.
997256
If you terminate your aggreement you will lose and more than likely get a bad credit rating.If you can afford to reduce the payments than thats the best way.Once the Bank/agency get their money they will be content.The last thing they wanna do is go to court to get their money back.Good Luck
628859
Depends on 1) how long ago the bankruptcy was 2) where you credit stands now 3) where you are financially now and 4) how much the loan is for.\n\nEasiest way is hit the bank and ask.
297451
first you have to go through credit correction.   Get your F.I.C.O. score back up and then worry about getting loans.  The fact that you filed for bankruptcy will have no affect on wether or not you can start a business.  Forget about the bankruptcy and get your credit back in order.
1149542
Get copies of your credit reports from all of the major reporting agencies.  Challenge the bankruptcy.\n\nYour lender can also "fast-track" the cleanup process and get your credit re-scored.  There is a small fee for this, typically about $50.00 per item on the credit record.  This is the fastest way to get this cleared.
224640
In most states if you fall behind 90 days your lender will begin the foreclosure process. You will receive a notice posted on your house(and sometimes in the paper)of the "Trustees Sale" (depending on which state) This will recorded in the county where the property resides. It will list the scheduled date of the Trustees Sale, the last date you can redeem and for how much. If you are in this situation and you have any equity in the property you should do anything you can to save your home and your credit. There are investors/buyers all over advertising that they pay cash for homes. Interview them and find the best deal for your situation. You may be able to sell your house, pay off the mortgage and walk away with some cash.\n\nGood Luck
1008116
I know that the previous answer is not correct. Bankruptcy, whether it remains on your report or not, only restricts your mortgage options for two years (in some cases only six months)\n\nForeclosure is a different matter and should not be spoken in the same sentence. Normally you would want to file bankruptcy to avoid foreclosure.\n\nCheck the guidelines for FHA loans. FHA requires two years of payment history, 3% down payment(and there are grants available to cover that) and a qualifying income. \n\nDon't despair. Just as there are methods of removing bankruptcy from your report, a foreclosure can be removed more easily. Wait two years, than dispute the forecloser with the credit bureau. The bureau has to verify whether the information is correct and may not be able to so because the mortgage company no longer has you in their file. The information than must be deleted.
1159127
Before you even begin this adventure, you had better understand a few things.\n\nYour goal is to fix your credit score so you can get a better deal on your new home.  It will not help your score to have anything on it that reflects negatively on you.\n\nWhen you pay off an old debt, the creditor will show "paid" on your credit report, but it will still have notations about being in collections, late payments, or only having a portion of the bill paid.  I don't care what anyone on here says, that is still a negative report!  Therefore, you have just spent a lot of money trying to fix something, and got nowhere!  \n\nTherefore, you need to be prepared to do some serious negoations.  \n\nFirst, if at all possible do NOT deal with collection agencies.  As previously stated in another reply, they get a portion of whatever you are paying.  If you pay the creditor directly, they avoid the collection agency and keep all the money!  They may deal with you in this respect.  So start by contacting the original creditor.\n\nDO NOT OFFER TO PAY ANYTHING!  Make it clear that you are only negotiating a payment plan and if they do not come to an agreement they can forget it.  Offering to pay will reinstate the Statute Of Limitations and can even effect some legal aspects of your collections.  BE CAREFULL!\n\nMake it clear up front that exchange for payment, they must remove ALL negative reports from your credit report, or change the status to "paid in full, as agreed".  They won't want to do this.  Many will tell you it's not legal.  Yes it is, I can prove it, and I've done it myself!   You are NOT "in the drivers seat" here as long as they continue to hold your credit report over your head. \n\nGet this agreement IN WRITING!  Without it, you have no prove that they agreed, and you will have an awful time getting your credit report fixed once they have your money.\n\nDon't give them a clue you have a lot of money!  Tell them that you are trying to avoid bankruptcy and have come up with a payment plan to try and resolve your debts, and if they refuse you will just pay off your other debts instead.  Start by offering to pay 60% of the debt, they will most likely accept 70% without too much hassle.  Sometimes you can even get much more, but that's very rare.  The advantage you have is you are going to pay it off in full, so remind them of that.  They will be more willing to accept your offer if it's not going to involve monthly payments.\n\nWhen you call, get names!  And don't commit to paying them anything until you have a written agreement from them listing they payment plan, plus their agreement to remove items from your history.\n\nGood luck with your battle.  You can do it, you just need to get into a good negotiators mindset and be ready to fight with these people.
1153442
Call a local mortgage broker (check your local yellow pages) and ask for a consultation, they are usually free or may charge a small fee (< $25)  for pulling your credit report..  Do not call a bank.  Mortgage brokers have many more programs available than banks and are more experienced in dealing with folks with troubled credit.  Anyway, they can pull up your credit and see how it looks.  It may not be as bad as you think.  If it is, there are programs such as FHA that are not credit score driven.  It always helps to have money saved up for a down payment, and while 100% loans can be obtained, you will most likely need a minimum of 3% down.  If you do not have the 3%, it can be in the form of a gift from family or friends.  There are 3rd party non-profit companies that you can get the donwpayment from, although FHA has been looking down on them lately.  Mainly b/c the 3% gets financed back into the loan....sort of...but I can't say that...LOL\n\nA good mortgage broker will have all of this information.  He/she should also be able to direct you on what to do if your credit needs a little repair.  If you are not ready to buy now, they can coach on what to do to be ready in 6 months or so.  Good luck with your dream of owning a home.
518430
These are both very good suggestions. Please remember, when this goes on auction the opening bid will be for the full amount of the unpaid loan. It is not like on television where you can buy back a foreclosed property for pennies on the dollar (Little House). Its obvious you want to do something nice for your friend, but you might get in over your head. You will go from one person in bankruptcy to two people in trouble.
37858
Most financial institutions these days have what they call "second chance" loans especially for those who have bankruptcy on their credit. If thats the only blemish on your hurt credit report then chances are they may be able to help. It is at a much higher interest rate but it is worth it to rebuild your credit and oh ya, by the way here is a tip for ya. If and when you do get a loan, pay the payments and take a long time to pay them off.\nYou see, the issue here is not that you paid in full but that you can show a good and faithful payment history. If they begin to see faithfull payments regularly then it out does the bankrupsy. most people make the mistake of paying something off too early and it shows a lack of payment history. So the best thing to do is stretch those payments out as long as possible so you can develope and good long payment history. It'l help especially if you ever go to buy a home.
43997
Because of the high interest rate, over a period of time you will owe more in interest that the actual amount of your purchase. So.....unless U file bankruptcy (which will also ruin your credit), they CAN and WILL take everything you got.
902356
The answer is, "it depends."\n\nWith some lenders, as long as your bankruptcy remains on your credit reports you will be denied credit.\n\nThe good news is, there are many "normal" lenders who are willing to work with you after bankruptcy. You just need to know where to find them.\n\nIt's NOT about working with lenders that are convenient for you. It's about finding lenders that will work with you without taking advantage of your situation.\n\nEach lender sets their own "credit guidelines." What are credit guidelines? They are simply the minimum requirements you must have in order to qualify for credit with that lender.\n\nThe three common credit guidelines for most lenders who work with people after bankruptcy are: \n(1) The amount of time you have since your discharge\n(2) How you pay your bills after discharge\n(3) Your FICO® credit scores.\n\nTime will heal.\n\nMortgage companies are pretty forgiving when it comes to lending money to someone who's filed bankruptcy. In fact, after bankruptcy, it's actually easier to get a mortgage on a new home than get approved for an unsecured credit card.\n\nAs long as your middle FICO credit score is 580 or above you will qualify for mortgage financing with no money down...just maybe not at the interest rate and terms you want. (This assumes you haven't had a foreclosure in the last 24 months and you have a good payment history since your discharge.)\n\nTo get better terms and a lower interest rate, you need a higher middle credit score. A middle score of 600 will give you a lower interest rate and better terms. (This assumes you haven't had a foreclosure in the last 12 months.) A middle score of 620 or above opens up even better options once you have two years after discharge.
435787
Be carefull with any credit repair agency.  Alot of times you will end up with a lower credit score when it is all finished. Just sleep with one eye open with all these companys.
1084310
The only way to fix your problem is to sell to a house buyer. They will let you pay rent to stay in your home than sell it back to you at market value when you've fixed your credit. But only if there is potential marketable value to your home.\n\nAnd a private lender will end up costing you more. Ck into FHA
483076
If you have to file go for chapter 7. A bankruptcy stays on your credit report for 7 years AFTER it's discharged. So if you go 7 it's dischatged immediately and if you go 13 it's\ndischarged after you finish making payments...about two years from now. So you credit will be bad longer with a 13. Also, most of the people you probably owe (credit cards, phone, etc)\ndon't care. They've made their money from you and will get a tax break from your defaulting on your payments...good luck on a new start.
165320
I need more information from you to get a more accurate picture of your situation.  What is the worst thing on your credit report?  How is your other payment history (credit card, car, etc?).  Your house payment is always on time (a good thing!), but more information is needed.  If you'd like free no obligation consultation you can fill out an application on my website, email me, or give me a call and I'll answer any questions you have.