Foreclosure and credit related issues?

Question

If foreclosure is inevitable and near, would it make sense to make credit-related purchases before my scores goes bad? And exactly how many points will a 30, 60, or even 90 days late payment affect my scores? And does anyone know how low will my scores gets when the foreclosure mark hits my credit???

ajetter2003 · Accepted Answer

If you are going to foreclose I do not recommend racking up additional bills.  The bankruptcy laws have changed and you will be responsible for those debts.  Also its not just a matter of worrying about your credit score. You car insurance rate is based on your credit score as are many other rates.  The best thing you can do is work with the bank to come up with a payment plan to avoid foreclosure.

Anonymous · Answer

It is a bad thing to make credit purchases just before you go into a foreclosure or bankruptcy because it makes it more difficult for someone to feel sorry for you if you are abusing the system so to speak. With new laws in place you could get your income that you have garnished, your checking account frozen by creditors and alot more trouble. Just talk with your creditors and try and work out arrangements if you have not done that already. Your credit score can drop below 500 and that is bad. Good luck.

Chris C · Answer

Your score will definitely take at hit. The further out the days late are, the worst it will be on your score. Whether or not you make credit related purchases before your credit goes bad is up to you, but you need to realize that if you can't afford the house you might go delienquent on your other purchase as well. I have a couple 1 to 2 minute videos on how to deal with collection agencies and raise your score. Feel free to check them out.

http://www.associatedcontent.com/video/14136/a_few_ways_to_increase_your_credit.html

http://www.associatedcontent.com/video/14135/how_to_deal_with_collection_agencies.html

http://www.associatedcontent.com/article/249047/how_to_increase_your_credit_score_part.html

standish · Answer

Yes - you'll be able to have debit with the application corporations. They will not be capable to position a lien at the estate, however they may be able to make it rough in your to reside somewhere else and feature utilities. Call and spot if you'll established a fee plan. If you speak, they usaully will accomodate you. You've been procuring television and web at residence whilst you've been having challenge paying your expenditures? Get the priorities directly! Necessities come BEFORE leisure.

Trending News

Foreclosure and credit related issues?

4 Answers