Credit Card Center Advertiser Disclosure

New Contributor
Posts: 72
Registered: ‎03-11-2012
0 Kudos

Want to build a home in 2012!! HELP!

I have had a lot of credit issues in the past. A foreclosure (12/2008), several charged off CCs, and a couple of collections that have now popped up. My current (2/2012) Equifax FICO (from this site) is 620. My wife's is 559. Income is $80K combined. Our  current credit situation is that we have 2 vehicles in both of our names. One will be paid off 1/2013. We each have a credit card. I have student loans (current) in my name. We will be paying our credit cards down to less than 9% this month. This should help maybe 20-40 points each according to the FICO simulator. When both of our FICOs reach at least 620 (640 for me at least), we want to have a home built. It will take 5-6 months to build the house. The cost is around $185k.


FHA requirements are changing 4/1/12 to require all COLLECTIONS over $1k to be paid or on a payment plan with 3 mos history.My question is this: Only some of our charged off accounts have turned into actual collections....Will underwriters require charged off accounts to be paid as well? I am a little shaky on the differences for underwriting purposes. Alsp our 2nd mortgage was charged off during the foreclosure...Will that be a requirement too? They never came after us for payment that I can remember....Any help is appreciated! We are willing to settle/pay with all creditors if it gets us closer to our dream home!

Starting Score: 620
Current Score: 649EQ/640EX/642TU
Goal Score: 700

Take the FICO Fitness Challenge
Moderator Emeritus
Posts: 32,865
Registered: ‎08-04-2007
0 Kudos

Re: Want to build a home in 2012!! HELP!

Forums posts are not provided or commissioned by FICO. Forums posts have not been reviewed, approved or otherwise endorsed by FICO. It is not FICO's responsibility to ensure all posts and/or questions are answered.

† Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.
‡ Credit cards for FICO Score ranges: The score ranges are guidelines based on internal myFICO analysis of actual applicant approvals, and having a FICO Score in a particular range does not guarantee you will be approved for credit cards recommended in that range. These ranges were not provided by any card issuer.

* For complete information, see the terms and conditions on the credit card issuer’s website. Once you click apply for this card, you will be directed to the issuer’s website where you may review the terms and conditions of the card before applying. While myFICO always strives to present the most accurate information, we show a summary to help you choose a product, not the full legal terms - and before applying you should understand the full terms of products as stated by the issuer itself.

Copyright ©2001-2015 Fair Isaac Corporation. All rights reserved.   | Terms of Use | Privacy Policy | Sitemap

IMPORTANT INFORMATION: All FICO® Score products made available on include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more

FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.