Q&A After Bankruptcy Discharge, Creditors Are Still Reporting Delinquent Debts
A question with regards to bankruptcy and negative reporting by creditors. After filing for bankruptcy, the Bankruptcy Automatic Stay kept creditors from collection efforts. The bankruptcy was discharged which then reverted the automatic stay to a permanent discharge.
At that point creditors could not collect on the discharged debts, as well certain requirements they must follow regarding credit reporting. If the debts are discharged and the amounts owed were changed to zero as of the date of filing, doesn’t that also mean they couldn’t continue reporting me as being late beyond the date I filed since they would have been reporting on being late for owing a “zero balance”?
Answer The previous past due status of the loans would be eliminated with the bankruptcy and the balances should all be reported at $0. All of the items should be reported as being included in bankruptcy and the delinquency clock would stop as of the date of your filing.
You should get a three bureau consolidated credit report or report from all three credit bureaus for free at AnnualCreditReport.com.
Look for any credit reporting agencies that are not reporting the data correctly and file a dispute. The information on how to dispute the item will be on the credit report.