Can I get a HELOC with a 5-6 yr old foreclosure on my credit report?
There are banks that still do “make sense” loans. Usually they are your smaller local bank or credit union that has 1 or 2 locations.The amount you borrow is the risk. You need to determine the value of your home, the amount on you first mortgage on this home, and the amount you need to borrow. This will give you CLTV. Banks like HELOCS with a CLTV under 75%.Example: Home value=$1 mil, 1st mtg bal=$600k. This means you have $400k equity, your CLTV w/o the HELOC is 60%. You need to be under 75% , so the max for your HELOC would be $150k minus fees.This is for a person with great credit…some lenders will only go as high as 60% CLTV.HELOCS that aren't used to purchase a home are seen as high risk. Banks at one time went over 100% CLTV…not any more.Maybe…a Hard Money loan. Person would lend you the money at a high rate with a lien against your home filed. Not usually the smartest loan.Get a copy of Scottsman guide to help find lenders.http://www.scotsmanguide.com
What is worse for your credit bankruptcy or a foreclosure?
This is hard to answer in a general sort of way. Both will destroy your credit for several years. Something to consider is what sort of debt are you carrying beyond your mortgage. If you walk away from your mortgage without filing bankruptcy, are you still carrying a ton of credit card debt? What are you going to do about that? People will advise you to try to consolidate the debt, get another job, and work on paying it all off. That’s great advice, but it’s not practical for a lot of people. How many years will it take to pay off the credit cards?If you file bankruptcy, the credit cards and medical bills all go to $0. If you’re not carrying that debt, would you be able to afford your mortgage? You might be able to file bankruptcy and keep the house.Either way, your credit score goes in the tank. But after bankruptcy, you can slowly rebuild your credit.The only way for you to sort this out is to talk to an attorney. An experienced bankruptcy attorney should be able to evaluate your situation. No one on Quora can figure this out for you.
Does the foreclosure of a loan increase your credit score?
Foreclosure means the act of taking possession of the mortgaged property when the mortgagor fails to keep up their mortgage payments. This basically reflects that the individual failed to repay their loan, and this will have the same effect on the credit score as a loan default would. Foreclosure would decrease your credit score.However, it could be possible that you are confusing foreclosure with preclosure, which is when you pay your loan back before the stipulated period of time. Preclosure will surely increase your credit score, and it will have a positive impact on your credit history.
How do i remove a foreclosure that shows zero balance from credit report?
Sorry credit doe's not work that way and the S.O.L. has nothing to do with how long derogatory accounts show on your credit that is controlled by the Fair Credit Reporting Act and it say 7-years from the date of first delinquency which works out to 7-years and 180-days. Nothing but nothing resets this time line. That's why it's called credit history.
How bad does foreclosure affect a credit score?
Due to an adjustable rate mortgage that increased $250 in one month at the same time my HOA did a special project assessment for an additional $115 per month, I had to stop making payments on my condo. In early October, I moved out and listed it for short sale (I was not eligible to re-fi). Two buyers have fallen through and after 6 months I have notified my lenders that the property has been taken off the market. I'm being told it will be another 120 days before the foreclosure process is complete. I checked my credit score last week and it has dropped about 100 points to 682 due to my missed payments since August. How much further will it drop? Anyone else in my position with any advice for rebuilding credit?
I'm three months behind on my line of credit. Can the bank foreclose on me?
if your credit line is secured with collateral (i.e, your house, business, stocks, etc), then yes, your bank can foreclose on those assets. If your credit line is unsecured (i.e, credit card or personal line of credit), then no. Typically if a bank can't collect it will sell your loan to a collection agency (and ruin your credit history). The collection agency most likely will sue you (if the loan amount is large enough to bother). It might be better for you to talk to the bank and try to negotiate a deal. Don't avoid the problem, face it. Solutions are almost always available; if not, declare personal bankruptcy and start anew.
Does a foreclosure or an eviction decrease a credit score more?
Foreclosure will ALWAYS land on your credit report and the default amount is probably in the hundred of thousands... so obviously that's a bigger ding than a few months back rent. Your credit history includes information related to your spending habits, debt, employment and other financial scenarios. An eviction won't be reflected on your credit history, unless your landlord sends you to collections for back rent. Then it can stay on your account up to seven years. While not evictions land on the credit report, and they are a smaller ding than a foreclosure, an eviction will prevent you from renting again. Most landlords will not rent to tenants who have been evicted, but will consider renting to someone with a foreclosure (for a larger deposit). Evictions also show up on a tenant screening report, which is a detailed report of your renting history. Eviction information that is held at the county level may be listed on a tenant screening report for up to 10 years. So for renting purposes, an eviction is worse. Purely for the sake of your bottom line credit score, a foreclosure is worse.