Here we cover how your credit history and credit score affects the mortgage rate you obtain when refinancing your current mortgage or purchasing a new home. Traditional vs. non-traditional credit, how to improve your credit score and important credit report tips.
Many homeowners ask why is my credit score lower when the bank pulled it and here is the simple answer: The main reason why your credit score is lower is because the credit score your mortgage lender obtains is based on a different “algorithm” than the algorithm consumer credit monitoring sites use for their credit scoring models. In fact the three credit … Read more
You’re credit history and more importantly your credit score is one of three main factors in mortgage underwriting (the other two being home value and personal income). That’s why it’s important to make sure your credit history and credit score accurately reflect your current situation. You would be surprised to hear the number of times someone applies for a mortgage … Read more
Most people know that your credit history plays a big role in the approval process when it comes to applying for a mortgage. Wether you are refinancing a current mortgage or purchasing a home, the mortgage lender will review your credit history. There are two broad types of credit that lenders will consider when underwriting a new mortgage application: Traditional … Read more
This is a fact of life when it comes to obtaining a loan; the better your credit the lower your interest rate (up to a point). Some people work really hard at keeping a high credit score and others don’t pay much attention to their credit report unless they’re applying for a credit card or a new home loan. Did … Read more
Recently there has been two new programs introduced to help those that might need help with improving their credit score. The goal of the two programs is to address the consumers that might not have traditional credit (ie credit cards, car loans etc) to show their credit worthiness. Additionally these programs will help those that might have missed some payments … Read more
According to news reports, the average national credit score hit 700 for the very first time. Great news for those seeking a new car loan or mortgage since a higher credit score results in lower car loan and mortgage loan rates. As most of you know your credit score is a major factor in personal finances and this should continue … Read more