If I had a foreclosure on a house, doesnt all the bank loans get paid off?
Question:
Answer:
All the credit bureau knows is what the bank tells them, so you need to contact the bank. If the proceeds from foreclosure weren't sufficient to pay off the loan, you still owe the balance. If the balance has been paid off, ask them to tell the credit bureau.
NO
If the amount received from the foreclosure sale is less than the amount you owed on the mortgage, you are theoretically on the hook for the difference unless you negotiate with your lender.
If they haven't sold the house, I'd imagine the debt would still be listed until such time.
If they got paid off depends on the terms of the foreclosure. You can't get it off your credit (even it it's the creditor's mistake) unless you have documentation that it was paid. That's the place to start!
In its simplest terms, if you owe $50,000 on the house and it's foreclosed and sold for $40,000, you still owe the bank $10,000.
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