In this case, score isn't everything. Look at it from the banks perspective, remembering that it's always a great idea to pay off old debt before you acquire new debt.
First, the risk to the bank (lien) as mentioned above.
Then, and most banks hate this, you just burned a creditor... Recently... And now here you are asking for a new loan. I mean, and please don't think this judgemental, it just isn't gonna work until you find a way to clear up that other mess first. Good intentions are fine, but how will a bank accept your word when they have proof that you are not paying your debts now?
You need a good credit score AND the funds to close a deal. A hard money lender may overlook it, but even then, you'd need a lot more money than you apparently have to close.
Work on getting some solution to this debt problem; it's the only way for now. And as mentioned earlier, I can't imagine either a creditor just forgetting about this. In fact, you talk about not poking the bees, but there are mechanisms in place that alert creditors when things like mortgage applications happen. Just doing that can trigger a collection action. Clear it up, you'll feel better.
