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Find the best home loan / mortgage loan for you!
Credit Reports and Your Mortgage Loan
Many home buyers are very worried about how their credit report will affect their ability to secure a mortgage loan. We even heard one story that an applicant was denied a mortgage loan because he had returned a rented videotape late!
Of course, that could never happen. Most people will not need to worry about the effects of their credit history during the mortgage loan process. However, you can be better prepared if you get a copy of your credit report to review before you apply for your mortgage loan. That way, if there are any errors you can take steps to correct them before you make your loan application.
If you have had credit problems, be prepared to discuss them honestly with a mortgage loan professional and come to your application meeting with a written explanation. Responsible mortgage professionals know there can be legitimate reasons for credit problems, such as unemployment, illness or other financial difficulties. If you had a problem that's been corrected, and your payments have been on time for a year or more, your credit may be considered satisfactory for a mortgage loan.
- contains info from the NAMB
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