11-20-2012 09:50 AM
I'm trying to refi, and my credit is around 640 now. Just want to get some benefit of changing from 26-years (at ~6.25%) to a 15 yr (at around 4.5%) if possible, while only increasing my payments by around $150.00 a month. The lowest rates for 15 year refis look to be around 3.5%, and I expecteed to have to pay a premium for my low credit score, which was how I got to my 4.5% estimate.
My current lender (Nationstar) doesn't want to refi. I owe 250K on a 340K home, and I even have some money to get a lower LTV ratio.
The slight bump in payment won't affect my Income-Expense ratio at all (I have verifiable income for 4 years that puts me way past the threshold). No other installment payments at all.
I put in a request on LendingTree, including all my information, estimated FICO (640ish), etc. Big mistake. I got several "offers" from a few lenders that looked good, but all of them are based on FICO of 720 or above. **bleep**? Why does the site bother to have you input information if all they're going to do is let a few lenders email you a "customized" loan offer that has nothing to do with your personal situation at all?
Now I'm getting the slew of phone calls, which I would have looked forward to, but after the first guy had me on the line for 30 minutes and then asked me what my FICO was (which he should have seen anyway), then told me I didn't qualify because I don't have 720...I knew this wasn't going anywhere.
I'll be talking to a few banks locally, but any advice on a refi with my current FICO?