My wife and I used your services after a bankruptcy about 9 or 10 years ago. We were very pleased with the outcome. We now have a home in N.C. that we are going to let the bank foreclose on. We have no choice, what actions can we take to protect our present credit score? Please let me know.
I’m sorry you’re losing your home!
If you can’t get a loan modification with PRINCIPAL reduction, I suggest offering the lender a deed in lieu of foreclosure (giving the lender the house). The lender reduces the cost of the foreclosure and it should speed up the process.
You may or may NOT have to move out sooner, that’s negotiable. There is also the possibility of negotiating the DELETION of the account from the credit reports.
The SOONER the transfer takes place, the sooner your FICO scores will improve.
How big an impact the foreclosure or deed in lieu will have on your FICO scores depends on WHAT ELSE is on your credit report. If you have only a few and relatively new accounts, you’ll lose many more score points than if you have many old positive accounts.
And of course it’s also very important that the mortgage is reported with a $0 balance.
So many people worked so hard on their credit and finally got a home — only to now lose it again. I highly recommend pursuing a loan modification with PRINCIPAL reduction to current value if you would like to keep your home.