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Regular Contributor
dreamer2014
Posts: 187
Registered: ‎03-03-2014
0

processing vs. underwriting

Just got an update from LO that my file is in processing for all the verifications required by VA then off to underwriting. What does all this means? what is the difference between processing vs. underwriting?

Beginning score- mid 500's
Current-689 (lender pull 6/20/14), TUC 669 (March pull)
New homeowner (08/14), Home Depot $7K, Walmart/Discover $400, BestBuy $3000K
Valued Contributor
ezdriver
Posts: 1,672
Registered: ‎08-24-2013
0

Re: processing vs. underwriting

[ Edited ]

Just curious .... did you ask your LO that question? It is a simple one for any LO to answer.

 

Processing is involves collecting all documents and packaging the file for the lender's underwriter's review. Underwriting involves verification that the file meets all of the lender's guidelines and rules. In the case of a USDA loan, the file is first underwritten by the lender and then it is reviewed again by a USDA underwriter when it arrives at the USDA.



Starting Score: 618
Scores on 10/9/13: EFX 652, XPN 669, TUC 662
Scores on 3/17/14: EFX 649, XPN 677, TUC 681
Goal Score: 720 ALL


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Regular Contributor
Laura1369
Posts: 151
Registered: ‎05-12-2014
0

Re: processing vs. underwriting

Dreamer,

I got a fantastic document from Veterans United today explaining the process. I went under contract last week. If you would like I can send it to you. I'm sure it is probably about the same for your lender.
Regular Contributor
dreamer2014
Posts: 187
Registered: ‎03-03-2014
0

Re: processing vs. underwriting

Laura1369, I would love that! Thank you.
Beginning score- mid 500's
Current-689 (lender pull 6/20/14), TUC 669 (March pull)
New homeowner (08/14), Home Depot $7K, Walmart/Discover $400, BestBuy $3000K
Regular Contributor
Laura1369
Posts: 151
Registered: ‎05-12-2014
0

Re: processing vs. underwriting

Dreamer... Sent it to you in a PM
Regular Contributor
dreamer2014
Posts: 187
Registered: ‎03-03-2014
0

Re: processing vs. underwriting

Laura1369- exactly what I needed!!!!!!!!! But now, I am nervous about something I read:

"please do your best to avoid transferring money from one account to another."

My husband just did this to an account we only use to pay bills. When payroll makes their monthly deposit, he makes the monthly bills into our bill account. Should I be worried?

Beginning score- mid 500's
Current-689 (lender pull 6/20/14), TUC 669 (March pull)
New homeowner (08/14), Home Depot $7K, Walmart/Discover $400, BestBuy $3000K
Regular Contributor
Laura1369
Posts: 151
Registered: ‎05-12-2014
0

Re: processing vs. underwriting

If this is something you do every single month they will see that in the statements you send them. I don't think that would be too much of a problem. Maybe it might need an LOE?
Valued Contributor
tooleman694
Posts: 2,297
Registered: ‎08-25-2011
0

Re: processing vs. underwriting

Im pretty sure that as long as you provide the statements you are good.

 

I move money into savings as a staging area for bills and pull it out as needed. So it looks like im moving money out of savings a couple times a month.

 

But it is ok since it is your money.

Regular Contributor
dreamer2014
Posts: 187
Registered: ‎03-03-2014
0

Re: processing vs. underwriting

I feel better about I guess. It does happen evert month and I have provided statements for it. We will see what underwriting has to say.
Beginning score- mid 500's
Current-689 (lender pull 6/20/14), TUC 669 (March pull)
New homeowner (08/14), Home Depot $7K, Walmart/Discover $400, BestBuy $3000K
Valued Contributor
tooleman694
Posts: 2,297
Registered: ‎08-25-2011
0

Re: processing vs. underwriting

Worst case you will have to write a letter.


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