Outstanding charge off....

[Hevj1119]

We recently applied for a mortgage and won't qualify with a unpaid charge off. The amount is $4550. The first date of delinquency was 06/2006. I'm reading conflicting information everywhere. The credit reports I pulled state that its scheduled to be removed 09/2013. I read somewhere that the "seven year rule" didnt count if applying for a loan greater than 150k.

If we can wait 6 months from now and qualify, I'd rather do that. If we wait 6 months and its still in the way, I'd like to be prepared for that too.

So which is it? Will it stop affecting my credit report in 09/2013 even for a mortgage application?

Thanks in advance

[JM-AM]

I would go speak with a different LO or Broker. Having a Charge Off that old should not be a deal breaker.

[Hevj1119]

Thanks for your advice

My credit scores are in the 610-630 range, does that change your advice?  If so, I apologize for not making that clear up front