FHA closing on 11/13... when should we open a new credit card?

[Anonymous]

My husband and I are closing on our first townhouse on Friday... the 13th :-) (After four long months for it to finish)

I was wondering when we would be safe to open a credit card for Lowe's/Home Depot so we can buy our refrigerator, washer, and dryer?

Could we do it now, or should we wait to closer to the closing date, or the day after?

Thanks!

[Anonymous]

Not before closing unless the LO gets approval from the UW for the new account.  You will possibly take a FICO ding for the inquiry/new  account, and it messes with DTI.  Also, UW's do not generally like to see new credit needed for move in.  It implies the buyer has not prepared for the expense of purchasing/moving.  Not to say that's the case here though.

[Anonymous]

Well it's not a matter of "needing" it's more of a matter of "wanting". We would rather not bust into our savings cushion and instead take advantage of 36 months no interest - which would not be a problem paying off. My raise just came through 2 weeks ago which is not reflected on our loan app/approval.

Either way, I just needed some one to agree with me that I should wait until after closing.

[XAVIERSMAMA]

I will be that person, wait until you close  So many things that are beyond your control can pop up and delay your closing, why let something you can control i.e. opening another line of credit, possibly hold you up.  If it makes you feel better, drive to Lowe's right after your closing, with new keys in hand, and buy appliances to your heart's content

[BungalowMo]

I will also be that person...WAIT.  When my loan was going thru the underwriting process, my LO told me "DO NOT go out buying things on your cc, or opening any new accts".

Wait until the house is yours...after closing & you have keys in hand!  New inq's could drop your scores & if you're near that magic 620...your loan could fall through should they pull another report.

Sit tight & smile about your new place!