The first thing that you need to do is have the tax liens deleted from your credit reports. When you started the disputes did you provide any documentation that proves the liens were paid off in 2000? When did you start the dispute process (how long ago)? With 5 tax liens the process can take up to 2 months or longer. You can also contact the entity that has the liens on your credit report. So give them a call & ask them to send both you and the credit bureaus documentation (letter) that states the liens were satisfied or fully paid in 2000. Tax liens stay on a credit report for 7 years after they have been paid in full or satisfied.
On debt to income ratio you take your monthly gross and divide it by your outgoing bills. So for example, if you make $ 3,000 per month & all your bills total $ 1700 then your percentage is 57%.
Both credit unions and banks can be good. All creditors will look at how many late payments are on your credit report, how often, & how recent. They want to make sure that they are going to get their money back from you. So the credit report shows what kind of credit character that you have. You stated that you have no bad (negative) accounts for over 3 years. So are there any late payments or any adverse trade lines that are on your credit report?
I would definitely wait until the tax liens are removed because your score will go up. Tax liens are about as bad as a bankruptcy & collection accounts. And multiply displays on your report of these type will have an adverse impact on your score.
The process of getting approved for a home equity line of credit can happen as soon as the next day. So here is what I would do, & after the tax liens are removed. Is go to a bank, or credit union & ask them what documentation is needed. Then just make sure that you have it. It is preferable to go to a bank or credit union that you have long & stable relationships with. The one that you have had loans, savings & checking accounts with. Always be upfront & honest with them.
