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New Member
Posts: 14
Registered: ‎09-21-2011
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Will lender pull credit right before close? FHA

I'm afraid to ask my mortgage lender this question as I don't want to raise any red flags!

 

Today he told me he will need a letter at closing stating that we haven't obtained any new debt. Does this mean he won't be pulling our credit again? We're getting an FHA loan. I am petrified that something will come out of the woodwork and screw this all up at the last minute - like a long lost debt. Knowing if they're going to pull credit again or not would help me sleep better. Assuming they're not! 

Moderator Emeritus
Posts: 32,869
Registered: ‎08-04-2007
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Re: Will lender pull credit right before close? FHA

LOL! That's how we felt. I do recall signing a disclosure saying they (my lender) would pull again for our FHA loan, but they never did. I have read of examples where lenders did pull again though.

Frequent Contributor
Posts: 251
Registered: ‎08-16-2011
0

Re: Will lender pull credit right before close? FHA

I signed up for the FICO monitoring for the credit alerts that tells you if there's any new activity.  Or you could just casually email your LO and ask.  Smiley Happy

myFICO starting TU 683 8/26/11
myFICO starting EQ 645 8/26/11
myFICO EQ 652 9/26
Super Contributor
Posts: 6,890
Registered: ‎07-03-2007
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Re: Will lender pull credit right before close? FHA

i think that most do pull before close

 

 

* While I try to visit the forum often, please feel free to contact me directly with a link to your post if I fail to answer a follow up question.

* Lending across the entire 'Great State of Texas' (and now Louisiana)since 2004

Valued Member
Posts: 53
Registered: ‎03-03-2011
0

Re: Will lender pull credit right before close? FHA

Hello,

 

Your lender will notify you if your credit score will be checked again, in most cases they will not check your credit again.

Regular Contributor
Posts: 172
Registered: ‎07-06-2011
0

Re: Will lender pull credit right before close? FHA

Ours was not pulled.  However, we were also told they would verify employment the day before closing and the didn't do that either.  lol


Starting Score: EQ: 540 TU: 606 EX: 605 (all from lender on 7/26/11)
Current Score: EQ: 601 TU: 648 EX: 642 (from lender on 8/4/11)
Closed on our home on 8/31/11!!!!
Goal Score: 620-650 to start

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New Member
Posts: 14
Registered: ‎09-21-2011
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Re: Will lender pull credit right before close? FHA

Vegas...I read your entire thread last night about you buying experience. I'm so glad it all worked out for you! We have similar issues, which is why I'm shaking in my boots! We got our FHA loan by the skin of our teeth....so I have a feeling one more thing would send it over the edge. We're supposed to close 10/14....things have not been smooth at all! USDA was denied because DTI was too high from co-signing a car with my ex(despite showing proof of him paying) ,and there being a 30 day late payment 22 months ago, and FHA was accepted/eligable. Not really sure why..since they have the same underwriting guidelines...but they do FHA in-house at our lender, and USDA had to be sent out to their underwriting. We had the inspection done already because we only had 10 days. Everything looked great with the house. The appraisal has now been ordered...so hopefully everything will look great there too. But we're buying a Fannie Mae REO...I've heard they tend to drag towards the end. They dragged just getting a contract.

 

This has been the most stressful month of my life. We have to give notice to move Oct 1st...scared to..what if everything falls apart at the last minute? We have 3 kids, so being suddenly homeless won't go well with that situation! I realize that we're in the situation because we're "paying for our sins"...definitely been an eye opener about keeping on top of you finances and credit reports! If I'd known about opting-out prior to yesterday, I would have done so months ago! But this house buying thing came out of nowhere too. When I called the lender - it was just to have them review our stuff and tell us when we need to do to get to a place where we could buy a house. I didn't expect them to say that we could do it NOW! Or else I would have spent more time cleaning up the credit beforehand. 

 

Well thanks for letting me talk that out!! ha

 

 

Regular Contributor
Posts: 172
Registered: ‎07-06-2011
0

Re: Will lender pull credit right before close? FHA


oriochick wrote:

Vegas...I read your entire thread last night about you buying experience. I'm so glad it all worked out for you! We have similar issues, which is why I'm shaking in my boots! We got our FHA loan by the skin of our teeth....so I have a feeling one more thing would send it over the edge. We're supposed to close 10/14....things have not been smooth at all! USDA was denied because DTI was too high from co-signing a car with my ex(despite showing proof of him paying) ,and there being a 30 day late payment 22 months ago, and FHA was accepted/eligable. Not really sure why..since they have the same underwriting guidelines...but they do FHA in-house at our lender, and USDA had to be sent out to their underwriting. We had the inspection done already because we only had 10 days. Everything looked great with the house. The appraisal has now been ordered...so hopefully everything will look great there too. But we're buying a Fannie Mae REO...I've heard they tend to drag towards the end. They dragged just getting a contract.

 

This has been the most stressful month of my life. We have to give notice to move Oct 1st...scared to..what if everything falls apart at the last minute? We have 3 kids, so being suddenly homeless won't go well with that situation! I realize that we're in the situation because we're "paying for our sins"...definitely been an eye opener about keeping on top of you finances and credit reports! If I'd known about opting-out prior to yesterday, I would have done so months ago! But this house buying thing came out of nowhere too. When I called the lender - it was just to have them review our stuff and tell us when we need to do to get to a place where we could buy a house. I didn't expect them to say that we could do it NOW! Or else I would have spent more time cleaning up the credit beforehand. 

 

Well thanks for letting me talk that out!! ha

 

 


Good luck!  I'm sure everything will all work out for you but it's easy for me to say that now.  lol

 

I was nervous about giving notice to our landlord but in the end she got the rent verification letter and called me instead.  We did end up moving earlier then we expected as our closing was pushed up from 9/16 to 8/31!!  I am still waiting to see if we get any of security deposit back but our landlord has never been very on top of things.  Smiley Indifferent


Starting Score: EQ: 540 TU: 606 EX: 605 (all from lender on 7/26/11)
Current Score: EQ: 601 TU: 648 EX: 642 (from lender on 8/4/11)
Closed on our home on 8/31/11!!!!
Goal Score: 620-650 to start

Take the FICO Fitness Challenge
New Member
Posts: 14
Registered: ‎09-21-2011
0

Re: Will lender pull credit right before close? FHA

Surprisingly, our rent history was never verified. We do have over 640 credit score...which I think might be why. I hear its more stringent under that number. 

 

So stressed! I doubt anyone will be able to convince me otherwise until we get those papers signed! Even then..I still might not believe it! hah

Senior Contributor
Posts: 3,889
Registered: ‎05-24-2011
0

Re: Will lender pull credit right before close? FHA

I was watching like a hawk for an inquiry alert.  What they did was "refresh" my report they already had, so in essence, I guess they did a soft.  Yes the did this the morning of funding (the day after closing).  They also verified employment for the third time before funding.

STARTING: 11/24/10 EQ-584 EXP-648 TU04-595
CLOSED FIRST HOME 8/19/11 EQ-630 EXP-691 TU04-653
CURRENT: EQ-701 EXP-??? TU08-720
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