Wrongful Foreclosures and Illegal Credit Reporting

Losing your home to wrongful foreclosure is more than any hardworking Californian should have to endure – but when coupled with credit reporting issues, moving forward becomes even more difficult. Even if your lender has provided compensation for the wrongful foreclosure, your credit score could be negatively effected for years to come. A lower credit score could prevent you from being able to purchase another property, vehicles and make it more difficult to take out other types of loans. If you’ve recently been in the foreclosure process, and haven’t yet reviewed a recent copy of your credit report, we suggest you do so immediately.

Illegal credit reporting that stems from a Notice of Default, Notice of Trustee Sale, or foreclosure sale, is relatively common. The effects of foreclosure on your credit score can be harmful when reported correctly – and even worse when reported incorrectly. Most homeowners are so focused on trying to prevent the property from being sold, that they don’t see the effects on their credit score until much later. While taking action immediately is always preferable, you may still have a legal case even if some time has lapsed before you found the reporting issue.

Fixing your credit score after wrongful reporting by your lender isn’t something that can happen overnight. Most of our clients are diligent about holding onto important documents and, which can help help prove a wrongful reporting case. Being able to produce proof of payments that were not credited can be extremely valuable in helping take the first steps to getting the results you deserve.

“They Ruined My Credit Forever”

It’s true that the foreclosure process can essentially ruin your credit score. It’s also true that no credit score is ruined forever. Steps can be taken to repair your credit, even if your lender made errors when reporting to the credit bureaus that negatively effected your score. Sending a wrongful credit report letter clearly stating the mistakes isn’t likely to get you the results you’re after – and certainly not fast enough when time is a factor. Hiring an attorney to help you fix the credit reporting errors, and potentially negotiate a compensation settlement is a much more secure option.

Our Los Angeles mortgage attorneys handle all aspects of foreclosure cases – from mortgage litigation to FCRA violations. We understand that each of our client’s cases are unique, and we approach each situation with a customized strategy to help each individual get the best result possible. If you don’t take action, yes, your credit may retain the negative effects of foreclosure forever, but our goal is to make sure that doesn’t happen.

Speak With Our Foreclosure Attorney Today

Rather than trying to navigate the maze of trying to repair your credit from wrongful reporting issues alone, hiring a mortgage attorney that knows the laws can be beneficial. Our foreclosure attorneys are here to help you get the best possible result as quickly as possible, because we understand how many different ways your credit score can effect your life. Call us today for your free consultation.

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