Legal Question in Real Estate Law in Florida
I signed a deed in lieu with my mortgage company citi financial about 18 months ago. They stated I would then have no responsibility for the gap. I have not heard anything else until last month when I got a alert on my equifax report that their was a change. I checked it and a financial company had changed my house from a involuntary reposession to a 120 day past due and the balance changed from $324,000 to $171,000. What does this mean
1 Answer from Attorneys
A deed in lieu of foreclosure does still have a negative effect on your credit, but if you have in writing you would not be responsible for the negative balance, you need to challange the balance shown on your credit report. You can do this by writing the credit reporting agency and let them know you dispute the claim and send a copy of the letter from mortgage company noting you would note be reliable for the negative balance. Also contact the mortgage co. and inquire with them as well.