Posted by Jane B. on January 06, 1998 at 19:15:00:
My husband and I are currently in our 4th year of a 5 yr. balloon on an owner-financed home. Two months ago we received a $30K, 6 yr. un-recorded loan (at 8% interest) from a family friend to pay-off all debt (credit cards and car). Rather than file bankruptcy and after a year of wasting precious time and money with CCCS, we feel we were lucky to get the unrecorded loan. We feel "morally responsible" to pay back the debt we infact incurred. I know there are a few things on our credit report that need to get cleaned up. Our salaries are increasing each year and we have good, stable employment history. What do you think our chances are of getting a loan in the next 12 months, whether we re-finance this home, or want to move? Any advice you can offer would be greatly appreciated. Thank you.