Soldier Preserves Security Clearance, Wages and Credit History with Pro Bono Attorney Help
An Army servicemember, while deployed overseas with a wife and four children at home, found out that his home was foreclosed upon and he was being held responsible for over $30,000 in debt. The soldier had understood that a deed in lieu of foreclosure was in process but instead was facing foreclosure on his home, potential wage garnishment and revocation of his military security clearance. The soldier had never received a copy of the foreclosure document or the deficiency judgment and only became aware of the judgment through an email from a collection agency and copy of his credit report. The servicemember required legal defense immediately so the ABA Military Pro Bono Project quickly referred the soldier to an experienced pro bono attorney. First, the attorney was successful in holding off the lender and preventing it from sending adverse posts to the soldier’s credit history. Then, the attorney forwarded multiple letters to a sub-servicer of the loan requesting that they refrain from further adverse posts and to three credit reporting agencies requesting that they take the soldier’s circumstances into account in scoring his credit history. Finally, the volunteer attorney was able to determine that the servicemember’s debt should have only a negligible effect on his credit history such that it would not prevent him from ultimately obtaining another home mortgage, and that the loan servicer was no longer threatening to sue, thereby protecting the soldier’s wages and military security clearance going forward.