Journey to buying a home

[Anonymous]

Hi guys and gals
I've been lurking these boards for the past few months, I wish I would have started a year ago. I'm currently trying to purchase my first home. I'm trying to do this using the FHA program.

My current scores as per my mortgage broker are EX 566 TU 586 EQ 622. As far as CK is concerned TU 600 EQ 619. I was in the high 400 in 2013.

I know these aren't great but they show progress in the right direction. I currently have 5 baddies totaling less than $1400. They are as follows: Comcast:$41, $104, $377, T-Mobile: $588, CapOne $222. All of these are 2-3 years old. I have the money to pay them off but my broker told me to hold off just in case the underwriter doesn't ask for them to be satisfied, since all are under $2k and I have no judgments. I currently have 3 trade lines, one has yet to report.

Cap One secured CC $200CL reporting $0 (100% on time payments)
Cap One QS1 CC $500CL with $6 balance (card is 3 weeks old, has yet to report)
Westlake financial $7k loan of 06 G35. (100% on time payments for the past 1 year and 6 months. Never late).
AAoA 12 months.

My broker told me that I should try to get my middle score to 620 before she tries to get me a loan. She also told me that this would take 6 months to achieve. Considering that my middle score is 586 I thought that her estimate was extremely conservative. I was honestly hoping to hit that mark by August (worst case). Am I wrong to think this possible by August at the latest? I was thinking of trying to PFD the 5 collections I mentioned as I would expect my score to sky rocket once no baddies show (dream big right?). Problem is I read that CA aren't willing to do those anymore.

My questions are:
1.Should I try PFD or wait?
2. Is 6 months to gain 24 points right?
3. Should I expect the new $500 TL to affect my score positively? I know 5k would but not sure of such a small limit.
4. Is there anything else I can do to get my score up to my goal by August?
5. Would being an AU on one of my father's CC help my score quickly? Depending on his Uti% of course.

If anyone needs anymore information, I would be happy to provide it. Thanks in advance

[Anonymous]

1. PFD comcast to remove 3 baddies. You should get a nice bump.
2. I gained 75 to 95 points in 8 months.
3.yes since you do not have several tl
4.be diligent
5.yes

[StartingOver10]

OP, did your LO tell you if you need more tradelines? Some have a min number of tradelines (for example: 3) that have to be one year old or more. Do you have any positive tradelines that are closed?

By the way, it is not the size of the tradeline, it is the amount that you have used. If you have 3 $500 (for example) cc;s and you are only using 1 card with less than $45 balance, that will really help your credit. OTOH if you are using all 3 cc's and running up the balances close to the limit  - it will tank your score.

[frugalQ]

OP,

I would make the $500 limit card show 0 balance and keep less than $10 on the 2000 limit card.  with the 500 limit card, you don't have much wiggle room with any balances posting to it.

[Anonymous]

Thank you Jackielee3178. Funny enough one of my comcast collections dropped off today. As per Faco my TU score jumped 38 points.

Startingover10 Yes she said more would be good. We're waiting for my QS1 to report which should be any day now. I have to secured card and 18 months of 100% on time payment for my car. I also have a 5k Brandsmart card that was paid 100% on time then closed back in 05'. She said that once the QS1 reports I may be fine.

FrugalQ I keep the secured at $0 and report $5 on the QS1. I use the secured one once a month to show activity but I use the other everyday and pay as soon as a balance shows.

[StartingOver10]

Fantastic score jump! Congrats! Sounds like you have everything going your way

[Anonymous]

With the info you provided I think you will see more than 620 in six months.  One thing you should do is keep checking with Cap One on their prequal...about a month or two.  They are very giving!  I had the QS1 for just one month.  Once it reported right after the first statement the Venture/Venture One/QS showed up!  I went for the Venture card and was give SL of 10k.  This boosted my score a lot.  Cap One loved me using that low $500 QS many times and I paid as often to keep it under 9% util.  I guess they just needed to see me using it for one month.  So try that and see if it works for you.  The higher limit tradelines will boost your scores.