topic Re: Advice on Raising Mortgage Scores in Mortgage Loans

Advice on Raising Mortgage Scores

numba1fan — Fri, 05 Jun 2020 22:35:26 GMT

Hi all!

I am in the process of securing a home loan, and I need a little help. My current mortgage scores are lower than my FICO8 scores, and my mortgage scores are: 561, 595, 604. I currently have my credit cards reflecting AZEO, but I do have 4 collections. I am assuming that settling, paying for deletion, or just clearing them up in general will help my scores. The following are my collections:

DirecTV - $277 (only showing up on TU and Exp.)

Midland Credit Management (original account was Credit One Bank) - $879 (showing up on all 3)

National Credit Systems (old apt complex) - $554 (showing up on Exp only)

IC Systems (original acct was Banfield) - $623 (showing up on TU & Exp)

If you need me to provide additonal information, I will be more than happy to. Any helpful information/tips that you guys have would be awesome. I am currently renting a home, and the owner wants to sell it to me. Thanks so much for your time!

Re: Advice on Raising Mortgage Scores

Anonymous — Fri, 05 Jun 2020 23:40:15 GMT

I am definitely not one of the people on here who knows a whole lot about this but I do know that my mortgage scores were in the same place as yours. I had several charge offs and 4 collections on 2 bureaus and 5 on the other. Well I got all the charge offs paid or settled so they now show a $0 balance. It didn't really do anything for my scores but then I started working on collections. I did PFD on all of them. 3 of the 4 collections came off but my scores didn't do much. However, that 4th one just came off this week and those 2 bureau scores went up 40 something points! Now the other bureau still has 1 collection and that one only went up about 4 points. But that last collection should be removed this month so I'm expecting that score to go up as well.

so I said all that to say this, I would work on PFD. Check those company's websites and see if they mention anything about pfd with pay in full or settlement or call them and see what they offer and if you are settling, don't be afraid to counteroffer. Again, other people will have more info on those companies specifically.

also, getting my utilization down helped dramatically too. So if that's an area that you could work on, it would definitely help. I now have 2 scores over 660 and the other is 637 for now until I get that last collection off.

good luck!

Re: Advice on Raising Mortgage Scores

Anonymous — Sat, 06 Jun 2020 03:49:33 GMT

I don't know about the other ones but Midland will delete a paid account if its over two years old. Waiting for mine to report as I type...should be around the 10th. Can't wait!

Good luck!

Re: Advice on Raising Mortgage Scores

numba1fan — Sat, 06 Jun 2020 14:22:57 GMT

Thanks you all for your replies. I spoke to my loan officer, and she will pull my reports on Monday/Tuesday. I will call the creditors today and see if I am able to settle, and have a letter stating that they are settled to show my loan officer. It would be great if they can delete them, but we will see what happens. I only have 60 days to take the offer for this house, or I will have to move somewhere else.

Re: Advice on Raising Mortgage Scores

Anonymous — Sat, 06 Jun 2020 17:28:29 GMT

Good Luck! Midland wont provide a letter. I tried. However, they just reported and it was REMOVED! Like I mentioned, if your debt is Over two years old or close to it, they will remove it almost as soon as its paid in full.

Re: Advice on Raising Mortgage Scores

numba1fan — Sat, 06 Jun 2020 17:37:42 GMT

Thanks sempermom. Mine isn't over 2 years, but at least it could at least reflect that its been paid for less than original balance.

Re: Advice on Raising Mortgage Scores

Anonymous — Sat, 06 Jun 2020 17:55:09 GMT

They may still delete it but I think you would have to pay in full. Unfortunately zero collections balances don't help, they have to be removed to have any real impact (especially if its a credit card/revolving account collection). This is per what I have read here AND ESPECIALLY from my loan officer. He was adamant about making sure they were deleted before he could proceed further. I double checked the dates on the reports for the midland and it said 2019! There is hope @numba1fan!

Re: Advice on Raising Mortgage Scores

numba1fan — Sat, 06 Jun 2020 17:58:19 GMT

Ahh, there is hope! Mine is from 12/2018. I pray that they can delete it! Thanks so much for your help! @Anonymous

Re: Advice on Raising Mortgage Scores

Anonymous — Sat, 06 Jun 2020 18:02:06 GMT

@numba1fan ooooh! You have a good shot! Yay! I like being the bearer of hope! Let me know what happens!!!!!

Re: Advice on Raising Mortgage Scores

Anonymous — Fri, 12 Jun 2020 14:33:13 GMT

hi, you should be able to qualify for an fha loan. I qualified and my scores were 567, 587 and 592. What company are you using?

Re: Advice on Raising Mortgage Scores

Anonymous — Fri, 12 Jun 2020 14:52:17 GMT

Hey @SACKITTY07

Do you mind pm'ing me the info for the lender you used to get financed? Also was this recently?

Re: Advice on Raising Mortgage Scores

Anonymous — Sat, 10 Oct 2020 00:21:53 GMT

Hi! I was browsing the forums for advice to increase my mortgage score and came across your post. Would you mind sharing the mortgage group that prequalified you?

Thanks!