My husband recently tried getting prequalified for a home loan and was denied. They said that although his numerical score was fine, the items on his credit report were too bad. One of the items was a foreclosure. They said that it has to be at least 3 years after it was done before he can get another home. It's been 3 years, but apparently the bank sat on the house for a full year before selling it, and the mortgage company told us that they don't start counting the 3 years until the date of resale. This was in the state of TN, btw, in case that makes any difference. So, it's looking like we have to wait at least a year before being able to secure a home loan.
The other big, bad item on there was a car repossession. His wife left him years ago and took off in their car, and she also cleaned out their bank account. As a result, he got behind on the bills, and the car was repossessed. The bank that handled the loan claims that my husband owes them $17,000, and they report to the credit bureaus every month. Apparently when they received the car back, they sold it at a ridiculously cheap price, and they're trying to make my husband pay the difference. Paying the debt off just isn't feasible for us.
My husband has done his best to recover from the financial damage that was done. He pays his bills, and he monitors his credit weekly, but the old debts are still hanging over his head.
Does anybody have any advice as to what we can do to lessen the blow of these two items?
The other big, bad item on there was a car repossession. His wife left him years ago and took off in their car, and she also cleaned out their bank account. As a result, he got behind on the bills, and the car was repossessed. The bank that handled the loan claims that my husband owes them $17,000, and they report to the credit bureaus every month. Apparently when they received the car back, they sold it at a ridiculously cheap price, and they're trying to make my husband pay the difference. Paying the debt off just isn't feasible for us.
My husband has done his best to recover from the financial damage that was done. He pays his bills, and he monitors his credit weekly, but the old debts are still hanging over his head.
Does anybody have any advice as to what we can do to lessen the blow of these two items?