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thorskid

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Can anyone explain when you have a debt that was closed/transferred? How is this affecting my cred?
Had a mortgage that was backed by what was called a Rural Development loan. Government backed home loan that guaranteed the loan for whatever bank wanted to do the loan. When the home was foreclosed on the guaranteed portion was not washed out in the foreclosure. So the Department of Treasury was coming after me for what must be the amount they had to pay the bank to satisfy their guarantee. When I called them they said the debt is closed and the Department of Treasury is no longer coming after me. I have heard nothing in many months and have no clue who they transferred the debt to but ultimately I am wondering how does this report affect my credit score when it shows closed/transferred and can I get it removed?

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"closed/transferred" alone is not a negative thing when it comes to scoring. However, it may raise questions if someone is reviewing your credit reports. Do they show a balance on the account or did they mark it as $0? If it is showing a $0 balance with "closed/transferred" I don't think I would do anything with it, about the only thing that may change is if you dispute it, they may correct it and it may become a derogatory.

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