Credit Check Abuse???

Services for Real Estate Pros with ZipRealty Residential Brokerage 46553

Hi Folks:

I'm currently working with a client who is currently renting a townhome from a landlord with slippery ethics. The landlord offered to sell her the rental home directly. Nothing wrong with that as it undoubtedly happens all the time. Here's what seems to be unethical-he forwarded her financial information on to several lenders to get her qualified to purchase the property. This was done without her knowledge and triggered a bunch of inquiries against her credit that may have lowered her credit score and therefore could impact her purchase mortgage. (She opted not to buy from the landlord after finding out he wanted to charge her 20K over fair market value on the property.)

I'm curious if current privacy laws protect consumers from this sort of abuse at any level as no one I know has been able to enlighten me about whether she has any recourse. We think there's probably something but it may not be worth pursuing. I am wondering if her FICO would be better if this hadn't happened.  She has a business that recently needed to establish credit also so there were a few inquiries out there already.

Comments (3)

Lanette Branch
RE/MAX Components - Fallston, MD
Bel Air, MD Real Estate Agent

Hi Irene,

You might want to post this one in the group called Realtors Needing the Services of the Lending Powers. I think this is just the type of stuff they like to tackle. I know I'm clueless...

Feb 20, 2007 12:17 PM
Irene Potter
ZipRealty Residential Brokerage - Maple Valley, WA
Creating moving experiences in real estate

Hi Lanette:

 Thanks for the suggestion! I just posted to the group you suggested. I am still pretty new and don't know all the AR nooks and crannies.

Feb 20, 2007 12:24 PM
Lanette Branch
RE/MAX Components - Fallston, MD
Bel Air, MD Real Estate Agent
Cool...I'm sure you'll get some answers there.
Feb 20, 2007 12:28 PM