Foreclosure and bankruptcy

What is the name of your state? Ohio

When me and my husband filed chapter 7 we surrendered our home to the creditors. How is this supposed to be listed on our credit report?

Somehow Fairbanks Capital took over our mortgage account (which was already foreclosed on) a year and a half after our bankruptcy. The house actually has a new owner.

They have us listed as having an open account on a home that we no longer own and it is listed in our credit reports as an active account.

When I called Fairbanks they gave me the runaround and told me that foreclosures could not be part of a bankruptcy. Still, my papers say that the house is covered under the ch7 (the word is to long to keep typing) as surrendered property.

Can anyone help?

[Ladynred]

It most certainly should NOT be listed on your CR as an open and active account, that is absolutely wrong. At the least, it should be listed as a foreclosure.. that's what's on mine. I didn't lose it to BK, but the entry should be at least that, if they don't list it as "included in BK". It probably should have some kind of notation for the BK on it though.

[HomeGuru]

[quote]Originally posted by ldmercer1012
[b]What is the name of your state? Ohio

When me and my husband filed chapter 7 we surrendered our home to the creditors. How is this supposed to be listed on our credit report?

Somehow Fairbanks Capital took over our mortgage account (which was already foreclosed on) a year and a half after our bankruptcy. The house actually has a new owner.

They have us listed as having an open account on a home that we no longer own and it is listed in our credit reports as an active account.

When I called Fairbanks they gave me the runaround and told me that foreclosures could not be part of a bankruptcy. Still, my papers say that the house is covered under the ch7 (the word is to long to keep typing) as surrendered property.

Can anyone help?

**A: you need to find out exactly what happened to the property. It was not simply "just surrendered to creditors" end of story. After you abandoned or gave up the property, some sort of action needed to occur ie. foreclosure sale by the lender or BK sale by the Trustee. Depending upon how the property was sold, the notation on your credit report may or may not reflect that. Ex: foreclosure, BK etc.

My BK was discharged in Feb 2000. I received a letter from my attorney in Sept 2000 stating that the court had set a status conference on my foreclosure.

That was the first I heard from my attorney since the BK closed. He in turn sent a status report to US Bank National (plaintiff) stating that my BK was discharged and closed in Feb 2000 and that the "Debtor Defendant's Statement of Intentions" was filed and such indicated that I would surrender my home to the secured creditors. What does this mean?

Why did it have me listed as the defendent when the BK was discharged?

Furthermore, there was a trustee assigned to my bankruptcy. Shouldn't she have taken care of the situation.

When I filed my bankruptcy, suit was already filed against me over the house. Could that have something to do with it?

[HomeGuru]

[quote]Originally posted by ldmercer1012
[b]My BK was discharged in Feb 2000. I received a letter from my attorney in Sept 2000 stating that the court had set a status conference on my foreclosure.

That was the first I heard from my attorney since the BK closed. He in turn sent a status report to US Bank National (plaintiff) stating that my BK was discharged and closed in Feb 2000 and that the "Debtor Defendant's Statement of Intentions" was filed and such indicated that I would surrender my home to the secured creditors. What does this mean?

**A: It could mean any number of things. What really happened is what you need to know. We still do not know what happened ie. did the BK Trustee sell the property or waive jurisdiction and let the lender forelcose.
**************

Why did it have me listed as the defendent when the BK was discharged?

**A: because you were already in that position when the lender filed foreclosure.
*********************

Furthermore, there was a trustee assigned to my bankruptcy. Shouldn't she have taken care of the situation.

**A: yes and no. If the Trustee did not want the property for whatever reason, then the Trustee would have nothing to do with the property.
**************
When I filed my bankruptcy, suit was already filed against me over the house. Could that have something to do with it?

**A: here is probably the events that transpired. Correct me if I am wrong. You were in default of your mortgage. The lender filed foreclosure. You then filed BK that stayed the foreclosure action. The lender filed a motion for relief which was granted giving the lender the approval to continue with the foreclosure procedings.
After that my crystal ball gets hazy.

Thanks for the great replys!

All of that aside, this same property is listed in my credit fileas an open account under Fairbanks Capital , formerly Equicredit who was the lender on my mortgage. Obviously when Equicredit became Fairbanks my account got transfered. Why would that happen? I don't own the house anymore, someone else does. Yet Fairbanks has set up an account in my name for a mortgage on this same house. It shows up on my report as foreclosure in process, 180 days late and balance of $22,000 still owed and $9000 overdue.

They give me the runaround and tell me this is legit. Bologna!!!

What can I do to get them to close out this account and report the correct info to the credit bureaus?

[HomeGuru]

[quote]Originally posted by ldmercer1012
[b]Thanks for the great replys!

All of that aside, this same property is listed in my credit fileas an open account under Fairbanks Capital , formerly Equicredit who was the lender on my mortgage. Obviously when Equicredit became Fairbanks my account got transfered. Why would that happen? I don't own the house anymore, someone else does. Yet Fairbanks has set up an account in my name for a mortgage on this same house. It shows up on my report as foreclosure in process, 180 days late and balance of $22,000 still owed and $9000 overdue.

They give me the runaround and tell me this is legit. Bologna!!!

What can I do to get them to close out this account and report the correct info to the credit bureaus?

**A: easy, you must force them to follow pertinent Federal laws. by providing written demand.
I will let my girlfriend Ladynred explain.

[Ladynred]

Well, I found some VERY interesting information today on Fairbanks !!! Ed Combs law firm is looking for people who are having problems with Faribanks and they are on their list of BAD mortgage lender that they want to pursue litigation against !! I think you should go over to edcombs.com and contact them about this !!!

Go to this page:'
[url]http://www.edcombs.com/FSL5CS/Custom/TOCSpecial.asp[/url]

Scroll to the bottom and you will find both Equicredit AND Fairbanks Captiol. This lawfirm wants documents to use against these scumballs.. it could work very well in your favor !

As for the written demand, as HG says, threaten to sue them for violations of the FCRA because they are blatantly and repeatedly reporting erroneous information to the credit bureaus. Under the FCRA, you can recover damages as well as $1000 for EACH VIOLATION. So, every month they update that bad information, its another violation of the law and another $1000 !!!