resulting in me not able to establish credit or refiancing
Chapter 7 Bankruptcy Attorney
You don't give enough details for us to advise you effectively. Please write back with more information. Is the bank giving you any information regarding why they are not reporting your mortgage to the credit reporting agencies?
I suspect that you filed a Chapter 7 Bankruptcy and discharged your mortgage note back in 2007. You did not reaffirm on the mortgage note. So, you no longer owe the bank any money. But you have continued to pay the bank, because it has a mortgage on the property that is still enforceable. This is a good situation for you.
The mortgage sits on your home like a big blanket. The bank is entitled to collect on the mortgage by foreclosing on the house if the mortgage is not paid by someone. But the bank can't take a deficiency judgment against you if the house doesn't sell for enough to cover the mortgage. You like living in the home, so you pay the mortgage. If you ever find the house payment to be a burden, you can simply walk away from the house with no further obligation. If you ever finish off the payments on the house, then you will have clear title.
Now, the reason that the bank is not reporting your payments on the note is clear. You don't owe on the note anymore. So you can't get credit for making payments that you do not owe. The most common arrangement after bankruptcy is that the debtor does not reaffirm on the home, but continues to stay in their home, make payments and keep the home insured. It is really unusual for a debtor to reaffirm on a mortgage. And yes, it is "safe" to refuse reaffirm and continue to pay. Always remember to keep the insurance up on the house. Good luck.
This answer is not intended to create an attorney-client relationship and may not be relied upon as legal advice. A careful examination of the facts is necessary before a legal answer may be relied on. You should consult your own attorney before taking or refraining from any legal action.
No creditor has a legal obligation to provide reports to the credit bureau. If you want to be able to show that you have made the payments on time, ask the creditor to provide you with a report of your account history. Hope this perspective helps!
I agree with my colleagues.
If this answer was helpful, please mark it as helpful or as a best answer. This answer is for general education purposes only. It neither creates an attorney-client relationship nor provides legal guidance or advice. The answer is based on the limited information provided and the answer might be different had additional information been provided. You should consult an attorney.