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Posts: 3,302
Registered: ‎06-09-2010
Re: Can I get a USDA Loan with a 638?

Kelbym232 wrote:

Hello everyone,


Can I get a USDA loan for at most, $150k?  My current middle score is 638.  My wife and I have baby #2 coming 6/28 and we would love to be moved into a 3 BR place by then.


My credit cards were all maxxed out December 15th, 2012 with a credit score of 620.  I paid 3 of them down to below 40%.  The 4th one I was an authorized user on and had my name removed the last week of January.  I had my score pulled by Guaranteed Home Mortgage (GHMC) on Feb 4th and was told my credit score is a 638.  The LO said I need a 640 to get the loan.


Currently I have three credit cards.  A capital one with a limit of $2000 that I just had to put $1600 on 1/27 and is now at $1972.  I am paying that down to $0 by 2/15.  The second one is an orchard bank card with a limit of $300 that has $100 on it.  The last one is a Target card with a limit of $200 with $24 on it.  I am an authorized user on a Zales credit card that has a limit of $4000 and is at $687.  I make $40000 a year.  I am also currently paying $750 in rent.


Please help me!  You guys are great.

Capital One... You are paying off... Stay on that plan...

Orchard bank... Make a Payment to bring balance down to 25 dollars as soon as you can...


Target Card.... Pay in full... As soon as you can...


Zales Card... Is the debt yours? or the card holders?...


I would pay the others off as I mentioned and you should have a decent increase. Paying the Capital One by itself may give you all you need to cross the 640 mark. You can just do one at a time and see how your scores improve. Just remember that you will have to wait for the accounts to update to the credit bureaus to have a change in score. Your LO can do a rapid rescore, they may charge you for the rapid rescore, its not really a common thing to charge but some do charge since it cost much more then a normal credit pull.

Good Luck
May all your dreams and wishes become a reality!