Personal Finance
Debt and Bankruptcy
Debt Collection
Money Management

How will a foreclosure affect your credit?

Top Answer
User Avatar
Wiki User
Answered 2009-06-17 11:29:55

Foreclosure is a very damaging entry on a CR, and will cause problems if the person tries to obtain credit (especially another mortgage), in the future. Foreclosures remain on a CR for seven (7) years. Here is an interesting article I read just today on this topic. Here have a look:

User Avatar

Your Answer


Still have questions?

Related Questions

Does a Deed in lieu of foreclosure affect credit the same as a foreclosure?

Deed in lieu of foreclosure is not nearly as devastating to your credit as is a full foreclosure. Below is an article about the pros and cons of deed in lieu.

If my mother is an authorized user on my credit card and she is currently in the process of foreclosure would her foreclosure as an AU affect your credit?

No, having her listed as an authorized user will have no impact on your credit score.

What happens to your credit on a short sale?

A short sale will have a detrimental affect on your credit record but not as bad as a foreclosure.

Will a foreclosure from someone's past affect their spouse's credit?

Will my future wife's forclosure effect me?

How long does a foreclosure stay on your credit report?

A foreclosure will typically remain on your credit report for seven years.

How does foreclosure affect credit?

Your credit will be affected negatively with a possibility of your credit score dropping 200 or more points. Not sure if you are in foreclosure now but if you are not make sure to communicate with your banks regarding your situation to prepare for other options and at least the banks will be aware.

Is there still a past due amount on your credit report after foreclosure?

The foreclosure will be on your credit report indefinitely.

If a couple is married and the mortgage is only in the husbands name will a foreclosure affect the wife's credit?

I hate to sound like a lawyer, but it depends. If you have separate credit reporting accounts, it may affect the wife's credit slightly. If there is only a joint credit account, yes, it will affect the wife's credit the same as the husband's. You can ask the 3 major credit reporting agencies (Experian, TransUnion and Equifax) to separate out your credit histories. If the foreclosure has already started, it may be too late. Get a free credit report from each (once each year) at

How long does a foreclosure stay on your credit report and affect it?

7 years + 180 days from date of first delinquency.

What happens if you are a cosigner on a house that is being foreclosed on?

The foreclosure will affect your credit record. You are fully responsible for paying the loan.

How many points does foreclosure decrease your credit score?

how many points dose foreclosure decrease your credit score

How long is your credit affected after a foreclosure?

Usually a foreclosure will lower a person's credit score by 250 points, and sometimes by as many as 280 points. The foreclosure stays on a person's credit report for seven years.

How much foreclosure effect your credit rating?

A foreclosure will substantially reduce your credit score in the short term and will remain on your credit for 7 years. If you do not get into credit shock after a foreclosure and continue to add good credit to your profile, e.g. secure credit card and pay other bills in a time--you will see that it will not have as much affect on your score in about 24 to 36 months. Creditors are concern about what you have done in the last 24 months. Your credit score is rating in the following many: Your payment history is 35% of your score and the amount owed is 30%, the length of time you have your credit is 15%, so the older is the better, the type of credit is 10%, and new credit is 10%. It is best that you keep this in mind and do not continue to improve your credit after a foreclosure.

Can you lose your general contractor license or your real state license if you have foreclosure in your credit?

You will not lose your general contractor license or your real estate license if you have foreclosure on your credit report. A foreclosure or bad credit is not a disqualification for these types of licenses.

How long will a foreclosure be on your credit report and how will it effect your credit score?

A foreclosure can stay on your credit report for over ten years. It will have a significant and negative impact on your score.

Can you buy a house if you have a foreclosure on your credit?

you must restore your credit.

How long will it affect your credit if you stop making payments on your ex wife's mortgage and the house is in foreclosure?

A foreclosure will show on your credit for seven years from the date of last activity. The federal statue of limitations is also seven years for the legal notice of foreclosure in the public records portion of your credit report. There may be other state laws which extend this statue of limitations. The Fair Credit Reporting Act is worded "...whichever is longer..."

Can you get a foreclosure off your credit report?

A foreclosure will be expunged from a person's credit report after seven years have expired from the time the foreclosure was reported. Valid information on a credit report cannot be removed until the required time limit for reportage has expired.

If I have a foreclosure on my credit will it affect me in trying to buy real estate?

If you are paying cash, NO. If you are financing it with a bank loan, usually it will. Depends on how long ago the foreclosure occured and the individual policies of the bank you are trying to get a loan from.

Does a timeshare foreclosure hurt your credit after a bankruptcy has been discharged?

Any foreclosure or bankruptcy affects your credit. And for anywhere from 7 -10 years.

If foreclosure becomes definite what will happen to your credit?

your credit rating will drop

Why does a creditor claim I had a foreclosure but my report doesn't mention one?

The foreclosure may have been reported to the Credit Bureau your lender is looking at but not the Credit Bureau you are looking at. For example, the 3 main Credit Bureaus are Transunion, Equifax and Experian. You lender may be looking at Equifax and seeing the foreclosure, when you are looking at your Transunion, where the foreclosure was not reported.

How do foreclosures affect your credit?

Same as a bankruptcy There are actually companies that will work with you for free to buy your mortgage away from your mortgage company and avoid your foreclosure.

Will i have good credit if i file bancruptcy on a foreclosure?

No - but you can rebuild your credit over time.

Can a property with easement can be foreclosure?

The easement does not affect the mortgage. Therefore, the foreclosure can continue.