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Collection or Tax Liens

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Anonymous
Not applicable

Collection or Tax Liens

Would anyone have an idea of what I should payoff first to help with me qualifying for a FHA Mortgage? I have a Chase card that is closed that went into collections and I owe $2,100 in which I'm on a payment plan of $100.00 a month. The other issue is there are (3) state tax liens that are for unemployment compensation and they total $3,400.

I am trying to increase my FICO score to 620 to qualify for a new mortgage. I am working on fixing some other things on my report to also help with increasing my current score of 565.

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1 REPLY 1
fused
Moderator Emeritus

Re: Collection or Tax Liens

Paying tax liens and collections will not improve your FICO scores. Yes, it stinks! The unpaid liens will make it difficult for you to get a mortgage. An unpaid collection might too. Paying the liens and the collection will rid you of bad debt, tho.

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