LO Wants To Run My Credit Earlier Then Expected

[Gardenhand]

Hello it's me again. It's really nice to have this forum for the endless stream of information, others experiences, etc... I can't help but notice that some of the experts have been MIA though. It was always a plus to be able to interact with them directly.

So I'm movining forward with my journey faster then expected. A quick recap of my situation below.

short credit history (8 months)

credit scores Fico-08 724-723-633

low base income (32,000 current 35,000 with raise coming in December)

overtime not eligible (under two years)

employment history- good

down payment- good

I have been in contact with a loan officer. I am happy with him. I feel confident with him moving forward. Previously we had made plans to make an application in early 2015 after the one year of credit history milestone. However I called him a couple weeks ago to ask him about overtime and we got to talking and we set up a time to get some more details together. That time was this morning and after running through all the information he asked to run my credit. 

Now i I expressed my concerns about the INQs and he didn't push the issue. I know it will need to be done at some point. I was under the impression that it wouldn't happen until early next year after the credit history milestone, pay raise, etc... Of course if he feels good enough about my application NOW to run my credit I guess that is a good thing. I really wasn't expecting it and I will need to tweak my revolving accounts as I currently have two cards out of three reporting under 9 percent. I was about to let my third card report a small balance also as I wasn't expecting to have my credit ran. 

So after expressing my concerns he agreed that there was no need to run it today. He said he was going to get in contact with an underwriter and get advice about my situation and to see if there is a good chance of getting approved sooner then later. We set up another appointment next week to see where everything is at. If after he talks to the underwriter and they think I have a good chance should I let them pull my credit? A different loan officer that is not there anymore pulled my credit in Febuary knowing I had no credit history. I have an INQ on all three reports from that credit run still. To me it seemed like a pointless INQ but I guess she wanted to see for herself that I had no credit history...

I'm sort of on the fence. I mean if he thinks it's worth applying now then that seems like a positive but I have been trying my best to get prepared for this purchase for eight months, cleaning my reports, secured credit products, saving for a Downpayment every penny I can, researching to no end, etc... I don't want to take another pointless INQ so he can see my credit reports unless this is the REAL thing. I know what's on there. I don't know what to do. 

thanks for reading and any advice is appreciated.

[ezdriver]

Expecting a lender to give you a reasonably reliable response without pulling your credit is unreasonable and unrealistic on your part.

[Gardenhand]

Thank you for your response. I understand what you are saying. A few things run through my mind...

The LO knows all of my details. Of course he would need to see my reports to give me a Yes or No answer about a loan but if he already knows that my credit is short (8 months) getting my credit pulled and then having him say NO because my credit is short would sort of tick me off. That information is already known.

If he knows I will be in a better position in a few months would he risk dinging my credit now if he didn't think I had a chance. I know he makes a living off of setting up these loans for people. So I'm guessing he wants to pull my credit to see if he can make money now. Even know in a few months my chances would be better.

I have some INQs already on my reports. A group of INQs from an auto loan in January that I never took, a couple from applying for secured cards in March and an INQ on all three reports from the other LO running my credit in Febuary. They are coming up on the one year milestone. 

Maybe I'm being gunshy and having my credit pulled now and denied isn't that big of a deal. I'm new to credit. I just don't want more INQs now and having that hurt my chances/APR later on in March when I know I would be in a better position.

thanks again for the response.

[Barneygirl]

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@Gardenhand wrote:

Thank you for your response. I understand what you are saying. A few things run through my mind...

The LO knows all of my details. Of course he would need to see my reports to give me a Yes or No answer about a loan but if he already knows that my credit is short (8 months) getting my credit pulled and then having him say NO because my credit is short would sort of tick me off. That information is already known.

If he knows I will be in a better position in a few months would he risk dinging my credit now if he didn't think I had a chance. I know he makes a living off of setting up these loans for people. So I'm guessing he wants to pull my credit to see if he can make money now. Even know in a few months my chances would be better.

I have some INQs already on my reports. A group of INQs from an auto loan in January that I never took, a couple from applying for secured cards in March and an INQ on all three reports from the other LO running my credit in Febuary. They are coming up on the one year milestone. 

Maybe I'm being gunshy and having my credit pulled now and denied isn't that big of a deal. I'm new to credit. I just don't want more INQs now and having that hurt my chances/APR later on in March when I know I would be in a better position.

thanks again for the response.

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I see that you show FICO scores in the 700s.... are these scores from the myFICO site?  If so, I would tell you to have your LO run your credit now so you have time if you find yourself like many others, where your mortgage scores come in lower than the FICO 08 scores!!   I've been reading on here and all too often the scores on here are considerably higher than what is pulled from the mortgage LO!  So I wouldn't chance it!!

I am the odd duck, and when the LO pulled my scores, my scores were MUCH higher than on myFICO (FICO 08).... so I was thrilled, and it's helped get me to a whole different set of mortgage options!

The slight ding you'll take on the INQ is worth knowing EXACTLY where you're at!!!!!

[Gardenhand]

Yes the sores I showed are from this websight.

724-723-634

I understand that these are not the scores that would be pulled from a mortgage application. I'm coming to decide that depending on how the LO feels next week when we talk I will go ahead and push the big red button. Like I said before I will need to wait until one of my credit cards statements cuts to get my cards tweaked right so I will need a couple weeks. Like you said at minimum I will get my first view of my mortgage scores. Earlier this year when they pulled my credit I had no scores because I never had credit.

thanks for sharing your perspective.

[Barneygirl]

anytime!  and good luck!

PM me if you have questions... I'm going through the process right now, and have a lot of "new" credit myself because I sat for nearly 15 years with no credit other than my house.  Little did I realize that no credit cards = a really crappy score! lol   I've spent the last 10 months taking my score from the high 500's to just about hitting 700, and it's a weird balance and crazy game trying to figure out how something will be scored on any of the mortgage versions vs. FICO 08.  Ugh!    My LO has run my credit multiple times, and I've been lucky so far that it hasn't hurt my score at all    (but then again, from all the CC apps over this past 11 months I think I've reached the point where inquiries no longer hurt!! lol)