QUESTION
Per the FCRA, how reaffirmed cars should show up?
Asked on Jul 21st, 2017 on Bankruptcy - Colorado
More details to this question:
We filed chapter 7 almost 7 years ago. We reaffirmed our vehicle, and paid it off; however, our credit report states the condition as derogatory, and the remarks list it was reaffirmed. I thought it was supposed to help our credit, not lower it with a derogatory mark.
3 ANSWERS
Commercial & Bankruptcy Law Attorney serving Powell, OH
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Ronald K. Nims
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If you were delinquent on the loan for months, that will still show in your credit report.
Answered on Oct 04th, 2017 at 7:39 AM
Bankruptcy Chapter 7 Attorney serving Fort Collins, CO
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The Salas Law Firm LLC
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Reaffirmation is a new agreement post bankruptcy, so if you were late or missed a payment after signing the reaffirmation, the credit company is absolutely within their right to mark it as derogatory. If you did not sign the agreement, then they are not allowed to mark your credit as derogatory. In my opinion, Reaffirmation agreements are rarely in a debtors best interest.
Answered on Oct 04th, 2017 at 7:38 AM
Bankruptcy Attorney serving Madison, WI
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Richard B. Jacobson & Associates, LLC
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Yes-a reaffirmation is supposed to help improve your credit. You can write each of the credit reporting services which lists the debt in some derogatory way, and ask them politely to change the form of the notation so that it shows that you reaffirmed the debt AND paid it in full in accordance with the reaffirmation. You could make the same request of the creditor on the vehicle-ask them to see that the notation is corrected. This has worked for me before.
Answered on Oct 04th, 2017 at 7:38 AM