The first loan (the primary mortgage loan) was not affected by the bankruptcy. The second loan (mortgage) was included in the bankruptcy and I contacted the lender to let them know I wished to continue paying on the debt, which I have been doing. However, this isn't reflected in my credit report since the loan was sold to a different servicer which doesn't report to the credit reporting agencies evidently.
If I were to pay the balance of the loan, it seems it would still remain on my credit report.
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1. Chapter 13
2. Not that I am aware of. I do know that the loan was not included as part of his repayment plan.
Okay, so if I understand correctly, then this is simply an error by the first lender, which I presume from your previous explanation, is now in Chapter 11 or 7 bankruptcy. Since this claim began before the bankruptcy was filed, you can't sue the lender. You would have to file a proof of claim with the bankruptcy and allege some amount of monetary damages against the first lender, caused by the incorrect credit report entry. Using that proof of claim and evidence of your prior account statements from the lender, you could dispute the negative entry with the credit reporting agencies. If they don't remove the negative entry, then while you cannot sue the lender, you can sue the credit reporting agencies. So you do have recourse. Hopefully, none of this will be necessary, because if you have the necessary account statements, you will be able to prove to the agency that you were paid current and timely, the lender won't respond to the credit reporting agency's request for information -- and the debt will be removed from your credit report. I think that covers the issue.
Hope this helps.
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