mortgage score questions

Anonymous · ‎06-03-2009

Hello all...my scores and information are as follow:

TU 630

1. collection: 1st premier/arrow both reporting collection 850.00 due to fall off 2/2010

2. collection: midland credit mngmt. 425.00 due to fall off 12/09

EQ 607

1. tax lien (paid) for tax year 1994. This was my ex husbands...we were married in September of 1994. I don't know if we filed jointly that year or not (looking into that now...) but I personally made less than 2K that year and his lien was for 3500.00. The lien was filed in 1999 (was separated from my ex at the time and never knew about the lien) and he paid it in 2005 (it not on any of HIS reports btw!!) am fighting this tooth and nail and have been getting a HUGE run around from everyone Equifax,PA tax advocate etc...am still waiting to hear back from my state tax lien office after my last phone calls to them...TU and EX removed this without problem but EQ will not budge! I have been told if we DID file jointly for 1994 there is nothing I can do and the lien can remain for 10 years after it is paid! So I cannot count on this being resolved at this time.

2. collection: 1st premier/arrow both reporting collection 850.00 due to fall off 2/2010

3. utility collection that is still reporting as unpaid (I only paid it last week) the amount was 574.00

EX (fako) 571

1. collection: 1st premier/arrow both reporting collection 850.00 due to fall off 2/2010

2. collection: midland credit mngmt. 425.00 due to fall off 10/09

I have no open credit cards at this time and was thinking about obtaining a secured card but am afraid the application for new credit and adding debt will drop my scores.....I know that would only hurt them in the short run but I am looking for getting a mortgage in the short run and afraid Dec. 1 will be here before I know it and I will miss out on the tax credit and great interest rates!

I am trying to decide what to do do up my scores that little bit more that I need. Obviously getting that tax lien off would most likely do the trick...but in the meantime should I...

1. Pay off remaining two collections?

2. Open the secured card? any opinions on which is best? Any not pull credit reports since they are secured?

3. Try for preapproval and hope my EX fako will be much higher than reporting?

I feel so close and yet so very far away.....

thank you in advance for your ideas and suggestions.

Anonymous · ‎06-03-2009

I'm not sure about the lien but the old collections shouldn't prevent approval. Your scores still need a bit of a boost though, shooting for 620 for at least 2 scores. Paying that old utility may, unfortunately, drop your score.

Paying down cc's is typically the only way for a fast boost and seeing how you don't have any, i'm not real sure what you can do. New credit lines will most likely hurt your credit but it might be better than the standstill you're at right now. The only thing that you can look forward to at this point is the collections falling off your report but that doesn't help you close before 11/30/09.

Personally i'd probably apply for the secure card, then i'd at least feel like i was working toward rebuilding my credit. You should pop on over to the Rebuilding Your Credit forum and see if they have any tips or tricks

Anonymous · ‎06-03-2009

thanks ladyofnight, your suggestion is good...I will do some research in the rebuilding section!

Anonymous · ‎06-04-2009

@Anonymous wrote:
Hello all...my scores and information are as follow:

TU 630
1. collection: 1st premier/arrow both reporting collection 850.00 due to fall off 2/2010
2. collection: midland credit mngmt. 425.00 due to fall off 12/09

EQ 607
1. tax lien (paid) for tax year 1994. This was my ex husbands...we were married in September of 1994. I don't know if we filed jointly that year or not (looking into that now...) but I personally made less than 2K that year and his lien was for 3500.00. The lien was filed in 1999 (was separated from my ex at the time and never knew about the lien) and he paid it in 2005 (it not on any of HIS reports btw!!) am fighting this tooth and nail and have been getting a HUGE run around from everyone Equifax,PA tax advocate etc...am still waiting to hear back from my state tax lien office after my last phone calls to them...TU and EX removed this without problem but EQ will not budge! I have been told if we DID file jointly for 1994 there is nothing I can do and the lien can remain for 10 years after it is paid! So I cannot count on this being resolved at this time.
2. collection: 1st premier/arrow both reporting collection 850.00 due to fall off 2/2010
3. utility collection that is still reporting as unpaid (I only paid it last week) the amount was 574.00

EX (fako) 571
1. collection: 1st premier/arrow both reporting collection 850.00 due to fall off 2/2010
2. collection: midland credit mngmt. 425.00 due to fall off 10/09

I have no open credit cards at this time and was thinking about obtaining a secured card but am afraid the application for new credit and adding debt will drop my scores.....I know that would only hurt them in the short run but I am looking for getting a mortgage in the short run and afraid Dec. 1 will be here before I know it and I will miss out on the tax credit and great interest rates!

I am trying to decide what to do do up my scores that little bit more that I need. Obviously getting that tax lien off would most likely do the trick...but in the meantime should I...

1. Pay off remaining two collections?

2. Open the secured card? any opinions on which is best? Any not pull credit reports since they are secured?

3. Try for preapproval and hope my EX fako will be much higher than reporting?

I feel so close and yet so very far away.....

thank you in advance for your ideas and suggestions.

Do not touch the collections unless you can get them to agree in writing to a pfd (pay for delete). Paying them off will make them seem like new collections to fico hence dropping your score. The lien is not a problem because its paid if it wasn't then you would have had to pay it yo get a mortgage. Ask your local banks as many of them offer secured credit cards too.

Anonymous · ‎06-04-2009

Thanks steelfan.

I just found out we did file jointly for 1994 so the lien stays.

Anonymous · ‎06-05-2009

@Anonymous wrote:

2. Open the secured card? any opinions on which is best? Any not pull credit reports since they are secured?

I would start here. I don't think it will hurt much more than the inquiry since you don't have any open credit cards. I'm not too familiar with which is best. I know Bank of America has a good secured program but last I heard you couldn't apply for the secured card. If you applied for a regular card and get denied they may offer it. They do have a pre-approval tool on their website (soft pull). I also know Crown Jeweler will give a card to anyone who will purchase their goods. There's a cool website, whogavemecredit.com. You can enter your scores and see who's giving out credit. If you go this route make sure you scroll to the bottom of the results and see what's happening in the past few months since credit standards have gotten tighter.

Anonymous · ‎06-05-2009

thanks rmily. I am going to check out that website, looks interesting....I think I have decided I will most likley apply for a mortgage and if I get denied then open up a secured line of credit and try again in few months....