Added Debt after Mortgage Pre-Approval--HELP SHANE!

[Anonymous]

I was pre-approved for a mortgage loan. However one of the conditions was that I pay down my debt on my credit cards to under 25%. All of which I have done. They will re-pull credit in couple of weeks. My debts are the following:

Income is 31, 200k per yr.

Middle Score was Equifax (Kroll Data) was 625 at initial pull

Raleigh, NC ..Townhome price is $127K

FHA Loan w/mortgage credit certificate and 3% down

Barclays Apple Finance Visa $ 1700 credit limit—Balance is now $425.00

Paypal Smart Connect $800 credit limit---Balance is now $200.00

Amazon Store Card $900 credit limit---Balance is now $225.00

TJ Maxx Store Card $400 credit limit---Balance is now $100.00

Wal-Mart Store Card $1,100 credit limit—Balance is now $ 275.00

Student—Loan Balance of around 10K

The thing is I had a unexpected family death and got a LOC loan with NFCU to help accommodate. I have 3K to add to the debt lines above. None of the credit was used. My question is what is the damage going to be with the Mortgage company? Do you think the extra debt will cause my loan to be denied?

[MEE2Too]

Hi, it may not cause your loan to be denied but it could change the amount you will be approved for if and when they check your credit score again. During the homebuying process you shouldn't make any major purchases are open any new credit lines but if you explain your situation and have the documentation then may if will be ok, it depends on what they say in underwriting.

[Anonymous]

Try everything possible for them NOT to re-pull your credit.. Meaning ask your processor to ask the UW if a simple statment showing the reduction will suffice. Let them know you don't the credit INQ to lower your score and reduce your chances.... Wouldn't hurt to try.. I am a mortgage processor at BOA and we have done it. but that does not mean all lender wiil.