02-14-2012 02:40 PM
For a score hovering around 625... more than one risk layer (credit waiver for low score and payment shock - no previous housing pmts).
I know there are "compensating factors" to consider - he's been at his job 8 years and has cash reserves.
Technically yes, he could be approved but we're just wondering if it's really that common or if it's just a huge stretch? LO thinks he should give it a shot.... just curious if anyone has opinions or similar experiences to share.
02-15-2012 08:27 AM
I wasn't aware that this was even a possibilty. Where did you hear of this waiver. Please tell me more. We've been deseprately trying to get my gf's score up so we can apply.
02-15-2012 08:36 AM - edited 02-15-2012 08:38 AM
Oh you gotta check out this document: http://www.rurdev.usda.gov/SupportDocuments/CA-SFH
GREAT info, all the details on what they will and won't accept.
They can submit a debt waiver (in case your DTI is over the 41%) and they can submit a credit waiver (explaining why they will give the loan even though credit scores are low). I believe those are the 2 main things they can do to get USDA to approve an otherwise ineligible application.
I just wonder how common it is for lenders to do that.
02-15-2012 09:16 AM
Our lender required us to be at a 640, but it could be because USDA is a little less strict with a score abouve 640 I guess.
02-15-2012 09:28 AM
You just made my day! Read it and I think she will qualify now. Thank you so much. Now we can at least talk to a lender. I didn't want to talk to anybody until we would actually qualify
Forums posts are not provided or commissioned by FICO. Forums posts have not been reviewed, approved or otherwise endorsed by FICO. It is not FICO's responsibility to ensure all posts and/or questions are answered.Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.
IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more
FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.