DTI

[Newbie2018]

In which case will an installement loan that has 10 or less payments left be considered for DTI?

I have 2 personal loans

EFS Finance- Origional Balance $ 400 current balance $213 (payment $71/mo)    so 3 payments left

DCU personal loan- Origional balance $250 remaining balance - $164 (Payment $44/mo)  so 3.5 payments left

Does monthly obligations such as Big lots furniture payment, Orthodonist monthly payments affect DTI? 

[Anonymous]

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@Newbie2018 wrote:

In which case will an installement loan that has 10 or less payments left be considered for DTI?

I have 2 personal loans

EFS Finance- Origional Balance $ 400 current balance $213 (payment $71/mo)    so 3 payments left

DCU personal loan- Origional balance $250 remaining balance - $164 (Payment $44/mo)  so 3.5 payments left

Does monthly obligations such as Big lots furniture payment, Orthodonist monthly payments affect DTI? 

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Those loans will be figured into your DTI until they are closed and paid off.  Does the Big Lots and Ortho payments appear on your credit reports?  If not then no, they won't be figured in because how would anyone know about them.

[CreditInspired]

Hi OP
I know you didn’t ask but IMHO if I were you, I would have EFS (53% UT) and DCU (65% UT) paid off prior to applying for a mortgage. Not only will this give your scores a bump, it will also lower your monthly debt by $115, which is huge.

Also, if Big Lots and orthodontist are recurring payments coming out of your checking account, a LO will ask about it once your bank stmts are reviewed.

[Newbie2018]

Yes, big lots and the orthodontist are reoccurring and are on my statements monthly. Neither are on my credit report nor is EFS finance.

[Newbie2018]

My last payment for big lots will be debited on May 15th and will be the end of the lease agreement. It was a 12 month lease.