Need advice on lock in rate and GFE for refinance

[Anonymous]

Finally the rate is 4.875% 30yrs fix 0 point with my score 710 and my wife score 800+

LO quoted me early today 4.75% for exellent credit score. My next question is if before closing date my credit score go above 720 can I demand the LO for better rate at that time. I was asking him early in case the rate lower can he adjusted. He told me " May be if rate drop more than 0.25% I can ask my boss to do rate adjustment but not guarranty"

Thank ShanetheMortgateMan.  I feel much comfortable now than before with all your responds.

[ShanetheMortgageMan]

If your score goes over 720 before closing, and the lender is OK with re-pulling credit and using the new score, assuming you lock in today with your sub-720 score, then before closing (must be before you sign docs) you should be able to get the rate that the 720 score would have been able to get on the day you locked in (today).  Hope that makes sense.

[Anonymous]

The rate I locked at 4.875 % with 710 score if my score is 720, LO would give to me 4.75%. My question again before sign doc my credit score go up over 720. Can I demand him to relock the rate if it lower than today 4.875% .  I'm a little confuse about your explaination. Anyway thank you very much for your quick respond.

[ShanetheMortgageMan]

I wouldn't recommend anyone demand anything when trying to qualify for credit, not sure if you meant to use that word or not.  But you can always ask for the 4.750% rate if your score goes above 720.  If their policy is to give you the rate that you would have gotten if your score was 720 at the time you locked in with your sub-720 score, then you would be given the 4.750% rate if you asked.

[Anonymous]

I should use ask instead of demand. You are right ShanetheMortgageman. Thank you for correting me. My loan to value is less than 70% and my Utilizing less than 9% my score 710 my finance in execellent sharpe. Our monthly all acounts payment less than 25% combine income. Why we can not awarded or offered the best rate. I don't know why they just look only at my 710 score only not or factors assocaites with ability to make mortgage payment such as income and assets. You have any idear who is making rate decision. I hope to get my loan approved soon. Thanks so much

[ShanetheMortgageMan]

Welcome.  It's a black & white line on the score, no compensating factors are considered when it comes to determining the rate.  You either have it or not.

[Anonymous]

Last Friday after I left work my LO called me and left me a message stated that "He has too many problems to complete my application and he prefer a local LO the one who pulled my credit score" However, I did want local LO to do my loan application because he quoted the rate (0.25%) higher comparing to out of area office LO(at Head quater office)

On this Monday I called him serveral times but he were so busy I couldn't get in touch with him. Finally, yesterday he picked the phone and told me everything are OKs. He said these problems are from his end, not mine (something like with the help desk application processing, I'm really don't know exactly what it is) He even told me the rate even getting better comparing to the rate he quoted 4.875% from last week. He said he can lock me in with rate 4.75% right now if I can provide him with credit card to pay for appraisal and credit report. I was so happy  and ask him to email me the locked rate confirmation and GFE. An hour later, I got it by email. It looks ok to me.

Now my question is can he make up some stories or tell me some reasons that my application are not approval eventhough with all email confirmation etc.

He mentioned to me about my cellection in my credit report but he said it's ok. I'm so worry about he wants me to pay this amount in order of them to approve the GOOD RATE as quoted.

Please let me know if he can change the rate after the rate is locked.

[ShanetheMortgageMan]

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@Anonymous wrote:

Now my question is can he make up some stories or tell me some reasons that my application are not approval eventhough with all email confirmation etc.

He mentioned to me about my cellection in my credit report but he said it's ok. I'm so worry about he wants me to pay this amount in order of them to approve the GOOD RATE as quoted.

Please let me know if he can change the rate after the rate is locked.

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A loan officer can tell you whatever they want, and what they want to tell you will be based on their character... that is why it's just as important to choose your mortgage financing based on more than just the mortgage terms.  It's like you are going to Vegas with your mortgage application, sure the payoff looks huge but what are the odds?

If he says paying the collection is a requirement for their loan then that could be their own requirement (for the program or as a lender)... there are plenty of other lenders out there who won't require collections to be paid depending on the situation around the collection.