Metro 2 special comment code BO: foreclosure proceedings started
Foreclosure has started on the mortgage but hasn't been completed. It records that the lender has begun the legal process, which can still end in several ways: reinstatement, a modification, a short sale, a deed in lieu, a payoff or a completed foreclosure. It shouldn't stay after the process ends.
Sources describe this code with some variation. Public documentation doesn't agree on every detail of how special comment code BO is used, so treat this as a general explanation. If it's on your report, the company that reported it can tell you exactly what it meant.
How it shows on your report
A remark like "Foreclosure proceedings started."
How it affects your score
A serious negative because of the default behind it.
What to check
If the foreclosure was stopped by a reinstatement, loan modification or payoff, the remark should come off. It shouldn't be reported alongside a completed foreclosure status unless that's what happened.
If this code is wrong on your report
- Metro 2 explained: the data format behind your credit reportHow lenders send coded data to the bureaus, and how disputes travel back to them.
- How to dispute a credit report error, step by stepA step-by-step guide to disputing credit report errors with Equifax, Experian and TransUnion: online vs. mail, what to include, and how to keep proof.
- Letter builderWrite dispute, goodwill, validation and identity theft letters. Free, printed by you, sent by you.
Glossary: special comment code, Metro 2
Sources
- Special Comment Codes (The Mortgage Office help center)
- Special Comment Code (GoldPoint Systems CIM GOLD documentation)
These explanations are ScoreTuner's plain-English summaries. The official specification is the CDIA Credit Reporting Resource Guide, which is copyrighted and not reproduced here. This is education, not legal advice.