Q: Can a mortgage company buy a discharged unaffirmed mortgage and start reporting it to the credit bureaus?
We filed chapter 13 in 2010. Paid until 2015 and were discharged. Had a mortgage I never reaffirmed and continued paying on. In 2017 after 7 years from BK filing the mortgage showed closed on my credit report. Not long after that another mortgage company bought the mortgage and since have been reporting it to the credit bureaus. I have been current on all the payments, but I have been told that they should never have started reporting this as it is a discharged debt. Are they wrong for having been reporting it? Thanks.
A: Yes. If the debt was discharged and not reaffirmed, they are violating the stay by reporting it and may be liable for damages.
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