| Be Credit Wise Before Getting a Mortgage |
| Articles - Mortgage |
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If you plan on getting a mortgage in the near future, there are certain things to avoid prior to applying for a loan that could reduce your credit score and affect your chances of qualifying,
If you plan on getting a mortgage in the near future, there are certain things to avoid prior to applying for a loan that could reduce your credit score and affect your chances of qualifying, Red flag issues to avoid prior to and also during your application process: * Do not apply for any new credit cards before getting a loan * That includes not opening new accounts to transfer credit balances * Avoid running up credit card balances, but reduce them instead * Don't buy a vehicle that requires getting new a loan financed * It is not a good idea to close any accounts with or without a balance * Do not allow any payments to go over 30 days late or to collection * Amount of time since accounts were opened * Number and type of accounts with balances * Proportion of current balances to credit limits * Number of late payments over 30 days past due * How long delinquent accounts were past due * Bankruptcy, judgments, liens, collection accounts Because of the importance of this number, there are some other items you should be aware of that can boost your credit before starting the loan process. Things to Avoid Before Applying for a Mortgage * Amount of time since accounts were opened * Number and type of accounts with balances * Proportion of current balances to credit limits * Number of late payments over 30 days past due * How long delinquent accounts were past due * Bankruptcy, judgments, liens, collection accounts Check for errors on your credit report and dispute the accuracy if you find any. Consumer disputes must be investigated by the credit reporting agencies within 30 days of reporting an error. If the derogatory information cannot be confirmed by the source during that time period, it must be removed from your report, which could boost your score. DISCLAIMER: This article is provided as information only and is not to be taken as financial advice. Get rates and information on home loans, also check out San Marcos new homes. |