Credit and foreclosure.QA I bought a house a year ago. My tenants stopped paying rent and now the house is in foreclosure foreclosure Legal proceeding by which a borrower's rights to a mortgaged property may be extinguished if the borrower fails to live up to the obligations agreed to in the loan contract. . How can I clean up my credit after the foreclosure, so I will be able to buy another home when I am really ready to take on the responsibility? --J. Barnes Via the Internet It's possible you can save your home from foreclosure by writing to your lender. Explain your situation and provide the necessary financial documentation. In return, the lender may offer options such as a temporary suspension of payments, mortgage loan extension, or the ability to make a one-time payment to bring the mortgage current. If your home falls into foreclosure, it will leave a negative mark on your credit report, But there are steps to get you back on the right track. 1. Rebuild good credit. Six months after the foreclosure appears on your credit, begin rebuilding by opening new lines of credit such as a major credit card and a charge card; pay the bills on time. 2. Take your time. Wait at least two years before applying for a new mortgage so you'll have a significant time of rebuilt credit history to show. 3. Comparison shop for a mortgage. Check out several lenders and sites like www.lendingtree.com. Also, read Surviving Financial Disasters: Bankruptcy, Foreclosure, Eviction The removal of a tenant from possession of premises in which he or she resides or has a property interest done by a landlord either by reentry upon the premises or through a court action. , Auto Repossession The taking back of an item that has been sold on credit and delivered to the purchaser because the payments have not been made on it. For example, if an individual fails to render prompt payments on a new car, the car might be subject to repossession by the finance company, , Excessive Debts and Much More by Tiffany Tiffany, Tiffanie (UK) a semi-longhaired version of the Burmese cat. It has a fine, silky coat in many colors. R. Love (Petra Publishing Co.; $24.99). Mail your consumer empowerment em·pow·er tr.v. em·pow·ered, em·pow·er·ing, em·pow·ers 1. To invest with power, especially legal power or official authority. See Synonyms at authorize. 2. questions to Ask Your Advocate, BLACK ENTERPRISE, 130 Fifth Ave., New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , NY 10011 or send an e-mail to sykest@blackenterprise.com. |
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