First let me begin with Experianâ€™s stand on what is termed as Key Derogatory
According to experian - Key Derogatory = Claim, Term Default, Government Claim, Paid by Dealer, Bankruptcy Chapter 7, 11 or 12 Petitioned, or Discharged and Bankruptcy Chapter 7, 11, or 12 Reaffirmation of Debt Rescinded.
But our Short-Sale was approved and agreed upon by our Mortgage company!
Due to financial hardships beyond our control and the housing bust we avoided foreclosure by agreeing to a short-sale approved by the mortgage company.
We felt good about ourselves... Plus the loan was an FHA insured loan which meant that Countrywide WAS PAID in FULL! Thus everything was settled.
All other reporting agencies are just listing as Paid/Settled/0 balance.
Some months Later we found that Countrywide added additional comments to our Experian Credit File about the Loan!
Therefore EXPERIAN listed the FHA short sale as KEY DEROGATORY which is the same as FORECLOSURE or Delinquent in Experianâ€™s terms(as mentioned above) Months after everything was settled, Countrywide mortgage left remarks on my credit report stating "Yes - Legally Paid but short of the full balance"
ON THE CONTRARY! CW Signed OFF on it!!!! WHY SIGN OFF ON SOMETHING AND THEN PLACE NEGATIVE COMMENTS ON MY REPORT!!!!
Because of that not totally correct Statement from CountryWide, Our Score dropped 20 points and Experian is the only agency placing a KD or equivalent of FORCLOSURE on my report!
Thatâ€™s just WRONG! How can the consumer benefit from economic stimulus if one of the Credit Agencies makes us look like American Peasants! Basically telling us to "Let'em Eat Cake!"
Iâ€™m disputing but with little success. Experian feels a short sale is the same as a Foreclosure. And lists it as KEY DEROGATORY!! meaning un-settled!
We worked so hard to avoid foreclosure and this is what we get.
CW approved the short sale anyway because there was already 3 foreclosures on my street alone thus dropping the property value. I did CW a favor by sticking it out and not foreclosing. They got paid by the buyer and FHA!
What should I Do?