I have low Fico mortgage scores 499, 541, and 535. I found a lender that prequalified me with 10% down and a 5.5% interest rate.I have 33% credit card utilization which I plan on paying the balances off this week. I have LOTS of baddies on my credit report. 3 charge offs (2 from credit cards and 1 from student loans) and several late payments (mainly from student loans). 2 of the charge offs were there when I got the prequal back in May. The last one was being charged off but hadn't hit my credit report at the time. They are all paid but still showing charge off. For some reason they all updated this month too (July). I went under contract on a house June 27th. I have 30 days to get my ernest money back. The lender that prequalified me is now saying they aren't sure whether I will be approved by underwriting or not. No matter what questions I ask he just keeps saying "there's no guarantee". He hasn't sent it to underwriting to give time for some of the things I've paid to reflect on my credit report. Should I go get my check back before it's too late? What are the chances of me getting approved by underwriting?
I should also note that I have 5 cards in good standing never late low utilization and I had a mortgage loan before that was just closed out in June due to me selling the house. I had never missed a mortgage payment either.
