Valued Contributor
JM-AM
Posts: 3,303
Registered: ‎06-09-2010
Re: student loan default

samy2576 wrote:

Hi,

My husband and I are trying to figure out if we should apply for FHA together, or if I should do it alone.

He had his student loans go into default while he was unemployed during the first half of 2010. They were in default for 1-2 months. Since that time he has been paying them properly with no more lates. How would that affect our application? Would it be better if I applied alone? I know I could be approved on my own, but I would like him to be involved if he can.


Just a few things to keep in mind.

 

1. Your husband does not have to be on loan, he can be on Deed for home ownership.

2. Applying by yourself gives your husband time to age his lates and rebuild his credit.

3. If for some reason problems arrise later down the road and you will be forced to sell or foreclose on home you can reapply for a new loan in husbands name only.

 

Also agree with statement above, FHA needs lates to be older then 1 year (12 months), their are few exceptions to this rule but very few. Your situation is older then 1 year (12 months) so I do not see that as a reason for denial.

 

Good Luck...

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