I am trying to get approved for FHA mortgage. I meet income guidelines but I have credit issues. I have car loan for a year that went 30 days late twice but now current.  I have about 7 collection accts. half are medical. I can payoff all of them for less than $5000.00 but will still take some time.   One is an old revolving dept store acct that I'm pretty sure I paid off already, but they are willing to reopen the acct with a $900.00  limit if I pay the balance off again. I am considering this just to have an open revolving acct in good standing.  Any thoughts on this out there?