Reply
Member
Jessierjohns
Posts: 18
Registered: ‎10-11-2012

THIS CANNOT BE HAPPENING :(

I Just got pre-approved for a mortgage yesterday, yayyyy right? Not so fast, a collection agency showed up on my reports and made my score go down nearly 100 points :smileysad: I seriously want to DIE! This agency was suppose to be deleted since they no longer held my debt, and I had a letter from them, so please someone tell me what happened? What happens with my pre-approval? I already called Trans and XP, and initiated disputes with them, although I know disputes won't look good toward closing I figured I was early in the game to get it handled. Call CA and they are stating that they no nothing about the letter ALTHOUGH IT IS SIGNED BY THEM! Someone please help me :smileysad:

Valued Member
KatieKatie
Posts: 26
Registered: ‎01-10-2012

Re: THIS CANNOT BE HAPPENING :(

FWIW I had a collection show up on Experian 5 days before I applied. It lowered my FAKO score by 49 points and I later found out my lender pulled FICO was 41 points lower. I immediately disputed it. I mentioned the dispute to my MB who did not think it would be a problem and I cleared automated UW. On 10/19 I received an approval with conditions, none of which involved credit accounts. They were the most minor conditions, like provide Chapt 7 discharge ppwk to confirm it was not within the last 2 years, provide copy of canceled earnest money check, copy of insurance binder, etc. Luckily I received confirmation this week that it was deleted by Experian but that was after I cleared UW. My MB went through Flagstar. There is hope if you still have a 640 middle score and the date of last activity wasn't recent. Good luck!
Starting: Equifax 480
Current: EQ: 656 TU: 721 EXP: 686
Goal: 750
Member
Jessierjohns
Posts: 18
Registered: ‎10-11-2012

Re: THIS CANNOT BE HAPPENING :(

Thanks KatieKatie for the Advice! I know I will have to tell my MB about it, but it's a bit disappointing. I hope he wont lose faith in me. My middle score was the one who took the hit of 100 points putting me 583 :smileysad: 

Valued Member
KatieKatie
Posts: 26
Registered: ‎01-10-2012

Re: THIS CANNOT BE HAPPENING :(

Hang in there, I bet you're MB will support you and provide some good advice.  I would definitely send a copy of the letter you have to the credit bureaus as well in reference to your disputes.  Best wishes

Starting: Equifax 480
Current: EQ: 656 TU: 721 EXP: 686
Goal: 750
Moderator
webhopper
Posts: 7,230
Registered: ‎09-16-2011

Re: THIS CANNOT BE HAPPENING :(

If you have a letter; they can fix it using rapid rescore. Don't dispair

Starting Score: 08/29/2011 TU 671 EQ 674
Current Score: TU 754 EQ 694 EX 697
Wallet: NFCU Visa Sig 25k, Amex Lowes 22k, NavCheck 15k, Amex PRG, Amex Zync, Discover It 13.5k, Amazon Visa 5k
Platinum Spade Garden Club Member: App Free since 1/1/13. No more apps til who knows when?
MyFICO Fitness Goal: 800s Club!



Take the myFICO Fitness Challenge
Member
Jessierjohns
Posts: 18
Registered: ‎10-11-2012

Re: THIS CANNOT BE HAPPENING :(

Thanks KatieKatie and webhopper I guess that I can breathe a temporarily sigh of relief :-)

Moderator
webhopper
Posts: 7,230
Registered: ‎09-16-2011

Re: THIS CANNOT BE HAPPENING :(

MBs can work wonders. Mine went toe to toe with santander who was inaccurately reporting a CO in 2010. In 2006 ex husbands truck repoed. Loan was with citi financial 2007 judgement entered against me for 18k 2008 garnishment 2009 settled in full Dec 2009. Santander buys citis loan portfolio... I have a document saying my "account" with citi was at 0 balance in December 2009. August 2010 santander reports a CO on August 2010 I ended up getting a letter from santander apologizing for the "mistake" MB threatened their executive office with a lawsuit while I was on a 3 way call. My EQ score increased by almost 40 points... 656 > 694 Found out the judgement was dismissed by the judge... got it removed from all except EX

Starting Score: 08/29/2011 TU 671 EQ 674
Current Score: TU 754 EQ 694 EX 697
Wallet: NFCU Visa Sig 25k, Amex Lowes 22k, NavCheck 15k, Amex PRG, Amex Zync, Discover It 13.5k, Amazon Visa 5k
Platinum Spade Garden Club Member: App Free since 1/1/13. No more apps til who knows when?
MyFICO Fitness Goal: 800s Club!



Take the myFICO Fitness Challenge
Valued Contributor
beb86
Posts: 1,117
Registered: ‎10-31-2011

Re: THIS CANNOT BE HAPPENING :(

YMMV but my LO only pulled my credit once and that was for preapproval my CRs were good for 90 days but it is a slippery slope if underwriting wants to pull your credit again before closing 

ccpics2.jpg
Member
Jessierjohns
Posts: 18
Registered: ‎10-11-2012

Re: THIS CANNOT BE HAPPENING :(

I am applying for an FHA 203k loan, and the collection is for $420, do you think I still fall under the fha guidelines? I just can't believe my score went down that many points from one collection arghhh

Valued Contributor
beb86
Posts: 1,117
Registered: ‎10-31-2011

Re: THIS CANNOT BE HAPPENING :(

FHA proposed changing the rule back in April I think from under $1000 as the threshold in unpaid outstanding debts (collections) to they have to be less than $500 and over 24 months old but I don't think it ever passed. But keep in mind those are the FHA guidelines and lenders will typically have stricter regulations 

ccpics2.jpg

myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.

>> About myFICO
FICO Score - The Score that matters
Fair Isaac Corporation is a BBB Accredited Financial Service in San Rafael, CA
FOLLOW US Social Media Facebook Twitter Pinterest Google+