Interst Rate?

[DueDilligence]

What do you guys think an average interest rate would be for someone with fico scores in the 630's, three credit lines less than twenty-four months, and two collection accounts from five years ago for parking tickets that total <$500.00?

By the way, this would be on a mortgage for $100,000 with anywhere from .035 to .07 percent down?

Any information or insight given regarding this will highly be appreciated.

[Anonymous]

seeing what other people have gotten at 640s, mid to upper 4s would be my guess. I assume that was 3.5 to 7 percent down not a fraction of a percent... Honestly I would offer a full pay for delete on the collections. If you could get rid of those you would be looking at scores in the 680s plus. And they may or may not make you pay them at closing anyway. Hell offer them 600 to pfd, it will save waymore than 600 bucks in interest.

[DueDilligence]

---

@Anonymous wrote:

seeing what other people have gotten at 640s, mid to upper 4s would be my guess. I assume that was 3.5 to 7 percent down not a fraction of a percent... Honestly I would offer a full pay for delete on the collections. If you could get rid of those you would be looking at scores in the 680s plus. And they may or may not make you pay them at closing anyway. Hell offer them 600 to pfd, it will save waymore than 600 bucks in interest.

---

I would be willing to pay them 1k if they would pay for delete. I offered them to pay in full and CA reported that he couldn't do that by law. I replied to him that I would think that his motivation to report me to the credit bureaus would be to receieve payment. These collections derived from unpaid tickets that have grown to 150 percent increase to their original amount.

I like your perspective as well on the amount of interest I can save throughout the life of a loan with a higher credit score with those Deroggs of my account!

[DueDilligence]

Oh and to add about the whole ordeal with those collection accounts, since they won't remove them from my credit report I feel as if there is no point of paying them especially since I feel those tickets were an injustice to begin with. I was really frustrated that day when I got off the phone with that collection agency. Believe it or not, it has been a whole year since I last spoke to them. Maybe they will change their mind on working with me.

[Anonymous]

I get it completely. My last baddie was for parking tickets, on a car that was parked on private property, (expired tags) and they sent the tickets to my old address (which was right upstairs from my new address) and I never saw a single one. I got it excluded early. They had actually told me to dispute it after paying and they would not respond. I chose notto because I figured the early exclusion was coming up on being available and it was correct (if sketchy) information.

[Anonymous]

I would give it at least a try or two. Who knows, if the right person picks up the phone on the right day, you might catch a break. And I would exhaust all avenues just because it would suck to get a 4.825 rate and them tell you that you have to pay the stupid 500 bucks to them at closing, where if you get it done now you might get 3.825.

[ezdriver]

The going rate for FHA 30-yr fixed mortgages is well under 4% these days. A 640 middle score [depending on where you got the score] will allow for your file to be auto-underwritten and, if approved, your documentation requirements would be eased.

The only way to know where you stand is to find a loan officer and try to secure a preapproval.

[DueDilligence]

Thanks guys I think I am defintely going to explore those options. I really appreciate the insight, perspectives, and the shared similar experience!

[DueDilligence]

---

@Anonymous wrote:

seeing what other people have gotten at 640s, mid to upper 4s would be my guess. I assume that was 3.5 to 7 percent down not a fraction of a percent... Honestly I would offer a full pay for delete on the collections. If you could get rid of those you would be looking at scores in the 680s plus. And they may or may not make you pay them at closing anyway. Hell offer them 600 to pfd, it will save waymore than 600 bucks in interest.

---

I guess since I spelled out percent you're right  .035 and 3.5% are the same though as well as .07 and 7%