Drug testing

Check Your Credit Before Shopping For That Home Loan

Review Your Credit Score.

Nearly every bank, credit union, and mortgage lender relies on a three digit score provided by one of the three major credit bureaus to help them make lending decisions. A credit score can range from the perfect 850 all the way down to the abysmal 300. Scores under 720 may not qualify for the best interest rates, so you should check your credit scores with all three bureaus before shopping for a loan. You may discover you have some cleaning up to do before you can take advantage of a great loan deal.

Scan Your Report for Mistakes.

Though some consumers struggle with debt, many more would-be borrowers suffer needlessly because of mistakes they made in the past or mistakes that credit bureau systems made when compiling their reports. To avoid embarrassment and wasted time during the loan origination process, you should review your report carefully before you start shopping for loans. Dispute any inaccuracies both with the credit bureau and with the creditor using certified mail. If you find any long-lost bills you left unpaid, pay them. A bill as insignificant as $100 can actually stall or derail the closing process, costing you the chance to buy your dream home.

Avoid Credit Applications.

In the weeks leading up to your home purchase, you may consider switching banks or responding to attractive credit card offers. Resist the urge to earn those frequent flyer miles, because a flurry of applications can show up on your credit report simultaneously. Therefore, lenders may grow concerned about potential identity theft. Even worse, lenders might assume you've lost control of your spending, making you an unsuitable candidate for a home loan.

Do All Your Shopping on the Same Day.

For the same reasons, you should choose one day to make inquiries from your favorite mortgage lenders. A few weeks after your inquiries, your applications will show up on your report and drag down your score by a few points. Because the bureau assumes that every application may result in an approval, the amount of your potential debt load increases significantly. In addition, the market changes so frequently that quotes made on different days cannot be compared directly. Be prepared to make your phone calls, run the numbers, and accept a locked pre-approval all on the same day.

Kevin Adelsberg is a writer for FDLoans.com. For additional articles and an extensive resource for everything about loans, please visit us at http://www.FDLoans.com

limousine chicago service
In The News:

How To Use Your Credit Card For Ultimate Financial Advantage

Using a credit card wisely is an important step in... Read More

How You Can Help Prevent Identity Theft

How can I prevent Identity theft from happening to me?... Read More

Maximizing Credit Card Rewards

In their quest to get you to sign up for... Read More

Credit Card Security Advice

Which of the following is the biggest threat to your... Read More

10 Signs You May Need Credit Counseling

Debt management programs can be of real help for people... Read More

Free Credit Report ? A Website Typo Could Be Costly

In 2003, Congress passed the Fair and Accurate Credit Transactions... Read More

Various Types of Credit Cards - Part 2

Several different types of credit cards offer several different options,... Read More

Why Consumers Need a Nationwide Credit Freeze NOW

What do a shoe retailer, an online discount broker, and... Read More

Everything You Always Wanted To Know About Your Credit Report

Your credit report is a very powerful report that essential... Read More

Simplifying Your Search For a New Credit Card

Today, selecting the proper credit card can be a bit... Read More

Credit Cards and How To Choose Them:

It may seem like a simple question but its important... Read More

Your Credit Score

Credit scores: all lenders use credit scores to determine interest... Read More

Why Your Credit Score is Important

Your credit score can either haunt you or reward you.... Read More

Dont Dig Your Own Pit

If you want to enjoy your life out of spending,... Read More

Discover the Parts of a Credit Report and What They Mean

So you ordered a copy of your credit report to... Read More

What Is A FICO Score?

A credit score is most commonly known as a FICO... Read More

Credit Card Entrapment - The Secrets are Out

Have you ever wondered why your credit card bill is... Read More

What You Didnt Know About Your Credit Card Numbers

Have you ever really looked at your credit card and... Read More

Know Your Credit Card Rights

When you apply for a credit card, the application that... Read More

What is Credit Card and Debit Card Blocking?

Have you ever been told you were over your credit... Read More

Credit Problems? Heres How to Manage Your Creditors

If you find that creditors are calling you almost daily... Read More

Warning: Todays Non Profit Credit Counselors Are Yesterdays Bill Collectors!

Here's a dirty secret, today's "non profit credit counselors" are... Read More

Credit Card Is Adding The Silver Lining To Your Pocket

In the new millennium plastic money or credit cards has... Read More

Student Credit Cards 101

If you're a college student, you probably already have a... Read More

Inflexible Friends and Plastic Assets, Why Money isn?t Buying Love Anymore

Consumers reject financial advice in favour of financial frivolityIt would... Read More

induction tunnel led light manufacturers in usa Pete's produce ..