Author Topic: Home buying after cleaning up  (Read 981 times)

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simon11

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Home buying after cleaning up
« on: December 23, 2015 04:59:08 PM »
So the situation is all old charge off's and collections fell off my reports.  There are no public records recorded.  FAKO score is now in the excellent range.

Currently I am in a land contract purchase agreement for a home in IN that will have full payment due in mid 2017.

I'll need to transition the land contract to a mortgage as I will not have enough funds to make the balloon payment due when the land contract expires.

Recently I learned that back in 2010 C1 sued me in my old state (IL) about 2 months after I moved to IN.

Looking at the court records online they claim to have served after I moved.  I was never served and have a feeling it was sewer service.

Completely unaware that I was sued in my old state I never showed in court and eventually in 2011 the court records show they obtained default judgement on the matter in 2011.

I believe in both IL and IN a judgement has a SOL of 10 years.

I live in the state of IN and have no judgements here.

Is this likely to come up during the approval process for a mortgage?  I don't want to bring it up since they didn't bother to move the judgement to the state I live in now and are not reporting to the 3 bureau's.

Am I better off saying something about this or keeping quiet unless it's brought up?

Clydesmom66

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Re: Home buying after cleaning up
« Reply #1 on: December 23, 2015 05:33:26 PM »
Is this likely to come up during the approval process for a mortgage?  I don't want to bring it up since they didn't bother to move the judgement to the state I live in now and are not reporting to the 3 bureau's.

Am I better off saying something about this or keeping quiet unless it's brought up?

Both the title search and the mortgage underwriter will find the judgment.  They will do a search for public records in every state you lived in going back at least 10 years.  It is better to fight them now on this and get it vacated or sue them for the sewer service FDCPA violation to get it tossed than to let them find out you want a mortgage and give them leverage. 
Be VERY careful following advice from the internet! What worked for someone with thousands of posts on a message board may not work for YOU in your state.  Consult a lawyer when ever possible.

simon11

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Re: Home buying after cleaning up
« Reply #2 on: December 23, 2015 06:43:37 PM »
And if I wanted to just pay the judgement off is there a way to make an offer for less than full without resetting SOL?

I'm not sure suing for FDCPA violation would apply as C1 is an OC.  I thought FDCPA was applicable only to JDB's.

I'm not sure hiring an attorney to try to vacate a judgement will be the most cost effective thing.  I'm not sure what an average attorney would charge to do this but the judgement is about $2700.

I was thinking of paying in full.  I don't see post judgement interest included in the electronic record so how does one initiate settling a judgement?  That leads me back to my first question again...

I'd continue the fight but from things I'm reading on other sites it is very hard to get a judgement vacated and when it comes down to being served it will just be my word against theirs won't it?  How do you prove you were not properly served?

fisthardcheese

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Re: Home buying after cleaning up
« Reply #3 on: December 23, 2015 06:45:54 PM »
How do you prove you were not properly served?

By showing work, bank or other records that would prove you were in another state on the day the service agent swore in court records that you were served.

I might try to vacate the judgement myself if an attorney would not be cost effective.  I would still talk to a consumer attorney, as there may be an avenue such as state consumer laws or by suing the law firm that brought this suit in order to collect attorney fees on the violation of improper service.
11 Arb Settlements (9 AAA, 2 JAMS)
3 JDB Suits Dismissed With Prejudice (2 pro-se, 1 consumer atty)
3 TCPA Settlements (2 pro-se, 1 consumer atty)
2 FCRA Settlements (consumer atty)
1 FDCPA Settlement (w consumer atty)
1 Small Claims Win (pro-se; Landlord/state consumer law violations)
1 State UDAP Settlement (ITS)
1 Federal PTC Settlement (before hearing; pro-se)

Bruno the JDB Killer

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Re: Home buying after cleaning up
« Reply #4 on: December 23, 2015 06:53:03 PM »
Is this likely to come up during the approval process for a mortgage?


It will be on the application, it always is. If you lie they can rescind the loan.



And if I wanted to just pay the judgement off is there a way to make an offer for less than full without resetting SOL?


There is no SOL to worry about, you lost the court case. Judgments are renewable according to your state laws.


Recently I learned that back in 2010 C1 sued me in my old state (IL) about 2 months after I moved to IN.


Worth a chat with a lawyer. If you were not properly served, you might be able to get the judgment vacated, It would be as if the case never happened, so the SOL would be an issue. Not the length of time for the judgment, the SOL for suing on a credit card which is five years in IL. Problem is, it's six years in IN. Watch the timeline before you try this, make sure the IN SOL is expired too.
I am not an attorney. Any information I post is strictly my opinion and should be treated as such.

jimmyjam74

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Re: Home buying after cleaning up
« Reply #5 on: December 27, 2015 12:07:01 PM »
So the situation is all old charge off's and collections fell off my reports.  There are no public records recorded.  FAKO score is now in the excellent range.

Currently I am in a land contract purchase agreement for a home in IN that will have full payment due in mid 2017.

I'll need to transition the land contract to a mortgage as I will not have enough funds to make the balloon payment due when the land contract expires.

Recently I learned that back in 2010 C1 sued me in my old state (IL) about 2 months after I moved to IN.

Looking at the court records online they claim to have served after I moved.  I was never served and have a feeling it was sewer service.

Completely unaware that I was sued in my old state I never showed in court and eventually in 2011 the court records show they obtained default judgement on the matter in 2011.

I believe in both IL and IN a judgement has a SOL of 10 years.

I live in the state of IN and have no judgements here.

Is this likely to come up during the approval process for a mortgage?  I don't want to bring it up since they didn't bother to move the judgement to the state I live in now and are not reporting to the 3 bureau's.

Am I better off saying something about this or keeping quiet unless it's brought up?


Only bring it up if its requested by the mortgage company,BUT if its not paid,it has to be resolved(removed or satisfied)or in a payment agreement with 3 payments and zero delinquencies.

 

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