Navy Federal Credit Union - What are the chances?

[Dee2]

Hello All,

I wanted to ask a question regarding the possibility of my being approved for a Mortgage Loan from Navy Federal Credit Union.  I've only been a member for 1 month, but I plan to purchase a new home in August/September '09.  At that time I will have been a member for approximately 5 months.  Anyone know if there is any stipulation or requirement on length of membership before NFCU will lend to its members?

Just a little history:

Equifax FICO - 708 (haven't pulled TU and have no idea of where to even get Exp.)

Annual Salary $73,100

Student Loans - $280/mo

MasterCard Credit Limit $1,250/Balance is $212 (payment $20/mo)

Sears Credit Limit $2,500/Balance is $190 (payment $10/mo)

When I do go to purchase a new home,  I'm hoping to get my FICO Score up to 720.

I currently own a home which will be on the market in a few days. I anticipate netting roughly 10% to be used as a downpayment for my future home.

Anyone know what my odds might be in getting a loan through NFCU? 

P.S.  I joined NFCU to take advantage of one of their no PMI loan products.

Thanks a bunch!

~Dee

[ronq]

You should be fine. I just did a mortgage with them last month and they told me anything over 720 get's the best rates and no PMI if under 20% down unless it's a jumbo loan.

[Dee2]

ronq,

thanks for your response.  My Fico Score is currently 708.  I'm trying to get to 720, but it's a struggle.  My credit cards all have low utility so I'm at a lost as to what I can do to get those additional points.  In my situation, I think it's just a waiting game.  Hopefully I can get an additional 15 to 20 points over the next 4 to 6 months. 

Do you know if Navy FCU uses the FICO from Equifax or would they also use the middle score?

Thanks again

~Dee

[Anonymous]

Although NFCU pulls EQ for most loan products.....don't they pull all three for mortgages?  Most morts use a "middle score" and trimerge report.....so keep that in mind.

[Anonymous]

---

@Dee2 wrote:

ronq,

thanks for your response.  My Fico Score is currently 708.  I'm trying to get to 720, but it's a struggle.  My credit cards all have low utility so I'm at a lost as to what I can do to get those additional points.  In my situation, I think it's just a waiting game.  Hopefully I can get an additional 15 to 20 points over the next 4 to 6 months. 

Do you know if Navy FCU uses the FICO from Equifax or would they also use the middle score?

Thanks again

~Dee

---

Dee, try letting only one of those cards report a balance next month and see if you pick up any points. And pay off the other a lot close to the like 2-3%. No guarantees, but I get dinged if I have more than one card report a balance and more than 1%. 

[Anonymous]

Pull your TU to compare to EQ.  EX will probably be pulled two, but you can't get one.  You can get a Vantage, but that is not a good comparison because it has completely different algorithms than FICO.

If TU and EQ are basically within a few points of each other....you are probably good in case of trimerge/middle score review as you push toward 720.

Message Edited by txjohn on 04-13-2009 06:37 AM

[Dee2]

Thanks for the advice.  I'm a little apprehensive about paying off one of my credits cards.  I could easily pay them off as I don't want the lenders to cancel them.  I have a pretty decent credit history and pay them both on time each month.  I've been reading the boards and it looks like some lenders are cancelling credit lines after they've been paid down. Hence the reason why I haven't just paid them both off.  I know that if one of them were to cancel on me, it would cause a score drop.  I will take your advice though.  If my score doesn't seem to be increasing towards 720 by late July early August, I'll pay off my sears card and pay down my MC to close to 1% utilization.  I'm also going to pull my TU at that time since it will be closer to the time I wish to purchase a home (around Sept or Oct of this year).

~Dee

[ronq]

Dee2,

They will pull all 3 reports and use your middle score.

[Dee2]

One more question please.  Does anyone know what DTI ratio NFCU uses their Conventional Loans?

Thanks