12-23-2012 02:46 PM
12-23-2012 02:50 PM
My loans aren't delenquent. I just have a payment arrangement that can be paid off if brought up.
This is very serious. There is no exception for payments not on the credit report. If the LO told you payments don't have to be disclosed if they aren't listed on the credit report, than the LO is misinformed.
Take a look at the loan application and read what it says. You can find one by searching for "mortgage loan application form 1003" (that is the standard form used by Wells Fargo and nearly every institutional lender).
The fact is, the payments are part of your back end ratios and if you fail to include the payment, then you are understating the amount of debt you have in order to induce the lender to make the loan to you. Don't mess around with this undisclosed debt payment.
12-23-2012 02:54 PM
12-23-2012 05:18 PM - edited 12-23-2012 05:26 PM
I don't understand when you keep saying it wasn't asked for or requested.
The loan application has a section where it asks you to list all monthly debts you are paying. How much more clearly do they need to ask?
Just know that if they find out, they will most likely deny your loan. It sounds like it would be denied anyway if you don't disclose it, sounds like you're at the limit with the DTI so I guess do what you feel but the stress would kill me.
How are you paying this debt? Is it via automatic draft from your bank account, or some type of payroll deduction? If so, UW will most likely catch this through review of your bank statements or pay stubs.
Disclose this now, and let them work with you if there are DTI issues. If they find out about the IRS debt, and I would bet that they probably will, saying it's not on your CBR, or they didn't specifically ask you about it won't fly. It will be viewed as a deliberate omission of information, that will almost surely result in your file being declined. The last thing you want is to spend money on inspections, an appraisal, etc, only to be declined because you weren't 100% up front with your lender.
12-23-2012 06:10 PM
12-25-2012 06:07 AM
if its only $100 that shouldnt be too much of a problem for your dti unless you are borderline..the last thing you want is on the friday before closing you get that phone call from your LO telling you there is a problem.
12-25-2012 12:10 PM
If brought up, I will just say it was going to paid by closing and didn't think anything of it. Period I really should have just paid it off along time ago. Thanks beb86
I pay different amounts each month and it doesn't appear anywhere, so again if it comes up. This is from 2005. They will be ordering and reviewing the past 3 years taxes. Also, if you see one of the post from a girl in the same exact situation said hers was never mentioned, so maybe I will get the same luck. If not, just pay it off.
12-27-2012 08:58 PM
Thank you everyone for your comments and suggestions. I informed the lender of my additional debt and they said I was still ok with my debt to ratios and my application still is in good shape. Thank GOD!
12-27-2012 09:43 PM
Good to hear! It'll be a little easier to sleep at night knowing you don't have that in the back,of your head a all times. Good luck with the loan, let us know how it goes.
myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.>> About myFICO