Mortgage Loans

[GClark]

I just checked my email and have an alert from score watch for my husband. There's a new collection account added and we're supposed to close Wednesday!!!! The collection is from Southern Credit Recovery and we have no idea what it's for! The only thing we can think of is maybe it's an old cell phone like 9 years old ... WHY NOW?

We're going through Suntrust for a USDA  loan, anyone had their credit pulled before closing??? His score dropped 40 points

[Wonderin]

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GClark wrote:

I just checked my email and have an alert from score watch for my husband. There's a new collection account added and we're supposed to close Wednesday!!!! The collection is from Southern Credit Recovery and we have no idea what it's for! The only thing we can think of is maybe it's an old cell phone like 9 years old ... WHY NOW?

We're going through Suntrust for a USDA  loan, anyone had their credit pulled before closing??? His score dropped 40 points

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Freaking d@mnit. Rotten bastiges.

If it's 9 years old (and WOW! That really speaks to the scum-sucking, puke-sniffing level those buttholes are willing to sink to), then dispute as "obsolete."

But FIRST and foremost, I'd holler at your LO and see if they've already pulled your credit. Like, call NOW. If they've already done so, and you're closing in a couple of days, you'll know you can breathe easy. If they haven't ... then it's time to do damage-control.

Damage-control as in see if putting off closing for a few days/week while you take care of this is possible. Then immediately DV the CA and see if they're just being A-holes, and have no valid claim. Best scenario would be if they have no valid claim and you can spank them for $1K in FCRA violations.

Bottom line: Do whatever needs to be done to get this OFF your CRs and then ask your LO for a Rapid-Rescore.

*fingers crossed and giving GC virtual hugs!!!*

If it helps any, BTW, that's kinda a compliment. Clearly, the CA sees that you're working your patootie off on your credit and wants to capitalize off it. I'll bet that if you choose to offer one, they'll accept a PFD.

And yep, I know it can happen to us, too -- and I'm worried and scared poopless, too!!

[GClark]

Yea this totally sucks! I was searching this company and came across something saying their into medical collections. If that's what this is then it would be almost 10 years since he's a had a medical bill and that was supposed to be taken care of by the attorney in a settlement.

I guess I'm going to have to go read up on the credit boards because I have no idea what a DV and PFD is lol

I sent an email for the LO telling her I need to speak with her ASAP, she usually don't get in until around 10 - 11am.

This is unreal I've packed just about everything and have the first load ready to go in the van and we just did our walk through last night.  

[UpUpUp]

The credit bureaus are in kahoots (sp?) with the collection agencies. They all have special software that alerts the collection agencies of there have been any changes to your credit file that may make you more likely to suck up and pay off a bill. They call them "trigger" alerts. If you clean up your credit and your score rises...here come the collection accoutns again, apply for a mortgage...here they come.  It happens all the time and is disgusting practice in my book. You can't work for the consumer and the collection agencies at the same time...shouldn't be allowed. 

You may want to post in the rebuilding section of the forums. There is a wealth of information over there, and they can give you great advice on how to get this removed. For one, print out the copy of your credit report that shows the debt is 9 yeas old. PRINT IT OUT! Right now!!  As soon as you contact them or dispute in some way they are likely to change the way it's reporting - they often reage debts to make them look newer and be able to keep them on your report longer. 

As for the closing...I may have missed htis part, but do you know for sure they are going to repull your reports? Can you find that out first before you go postponing things or putting your home purchase at jeopardy?

Good luck. Go get those scum-suckers.

[fishbjc]

I had this happen to us on a refinance.  I had an old $30 from Kaiser.   The LO actually said the bill had to be paid.  All we did was provide a copy of the cashier check & a statement that it was paid.  No problem.

That being said...if you knew you had a non-paid bill, you should take care of it. 

This is our 2nd house and they did not repull before closing.  You're probably fine, but be proactive and take care of this.

[slyhouse08]

This JUST happened to me also...I was approved back in the beginning of December for a new build...the started building...and at the end of December a new collection popped up on my EQ credit report...for an old Sprint account....Sprint has no knowledge of this...

I called my LO and he said as long as its old...your okay...so look at the date assigned...and see when it was....sorry this happened to you....GOOD LUCK!!!

[Wonderin]

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GClark wrote:

Yea this totally sucks! I was searching this company and came across something saying their into medical collections. If that's what this is then it would be almost 10 years since he's a had a medical bill and that was supposed to be taken care of by the attorney in a settlement.

I guess I'm going to have to go read up on the credit boards because I have no idea what a DV and PFD is lol

I sent an email for the LO telling her I need to speak with her ASAP, she usually don't get in until around 10 - 11am.

This is unreal I've packed just about everything and have the first load ready to go in the van and we just did our walk through last night.  

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Um, you know what I just thought of? Your LO/UW is going to care more about the when of when the collection OCCURRED rather than the when of when it REPORTED. So if it wasn't INCURRED within the last 12 months, you should be okey-dokey.

I think, honestly, the only issue you'll have is the effect on your scores in regards to your interest rate.

But like Fish said (she's awesome!), I think you might end up having to pay it at the table. I really think that other than that, you're still home free and clear.

So, stop worrying yourself into a tizzy (you really DON'T deserve it!) about those a*holes, and start worrying about whether or not that paint you chose for the living room is going to clash with your drapes. 'Cause I really think you'll be fine and dandy.

And who knows? You might even end up with a few extra thousand in your bank account -- after you snag those bastiges for FCRA violations.
*evul grin*

[LisaJ]

Suntrust did not rerun my credit.    I hope you are in the clear.  Keeping fingers crossed for you!

[DallasLoanGuy]

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GClark wrote:

WHY NOW?

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They most likely got an alert that you had a mortgage inquiry.

This is why people with lots of old bad debt need to opt out 

[Wonderin]

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DallasLoanGuy wrote:

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GClark wrote:

WHY NOW?

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They most likely got an alert that you had a mortgage inquiry.

This is why people with lots of old bad debt need to opt out 

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Opt-out, period? Or Opt-out with current creditors? If we opt-out, won't that make it harder for the lender to pull our credit as need be?

Have my finger on the trigger!