My question involves collection proceedings in the State of: California
The bank recently approved a short sale of my property. The second mortgage reported the sale to the credit bureau as a charge off. When I asked the bank as to why they reported as a charge off, rather than paid as agreed or something less damaging, they said because they had to charge off the debt and in the State of California, they can not go after us for the balance. My understanding is charge offs remain for 7 years. How can I go about having them change it to something less damaging? This is the only negative activity we have on our report