Freaking out! Close in 4 days!!

[Anonymous]

Hey everyone, I'm freaking out as I close in 4 days and I need to use my credit cards but know that my realtor and LO don't want me to. I originally achieved the credit score that the lender wanted me to have but once we were going through approval they requested a higher score and stated I needed to pay down one of my credit cards, so I borrowed the funds to pay it down from family which was paid via their account not mine as underwriters hate unsourced funds in a borrower's account. Additionally, I have the cash funds but another requirement came from the lender requesting 3 month's reserves so my checking and savings accounts are tied up because of that. I have to pay rent and the family member who I borrowed funds from to pay down the credit card needs to utilize it for their own costs as well. There's really no way around me using the card again with my cash funds tied up for reserves. But my question is since my credit card statement for my card doesn't generate until 3 days after the closing date will I be okay? The balances to my knowledge shouldn't be updated to the credit bureaus until after the statement is cut. The credit card is a CapitalOne card if that information is important to know.

Additional information:
My initial closing date was a week earlier but was pushed back to where it is now ie. 11/14 to 11/21 so I thought there wouldn't be an issue with the rent or paying back the family member this week.

Loan is FHA and original required score was 600 but was changed to 620. I have achieved the 620 score since paying down the card.

I was not initially aware of the reserve requirements so i thought I had sufficient funds for the process before I started it.

I have been approved by underwriting already but at closing my understanding is a SP credit check is done.

Currently my credit score is the exact same as my last HP that the lender did a week ago and should not update until my next statement updates.

[Anonymous]

Yikes, that sounds really stressful. It sounds like having any balance could tank your approval and cost you the house. I get that the balance won’t post until after but 3 days after is no cushion... what if it posts early? What if your closing gets pushed out again? I just don’t think you can risk it.

Four days isn’t that long. As soon as you close and it’s recorded, you won’t need the reserves. I think you just have to talk to your family member and landlord and let them know it’ll have to be paid then. Good luck.

[Anonymous]

I've tried and no go. The family member needs the funds for their own Bill's and it would be selfish to ask them to risk their own credit and livelihood for me.

[Anonymous]

Are you willing to lose the house over this? Ultimately, that’s what it could come down to.

[Anonymous]

At this point I may, because I can't let the family members bills go unpaid and my rent also has to be paid otherwise I risk being filed on which can cause bigger issues.

[chiefone4u]

Hopefully you can delay they spend until after you get your clear to close documents. Once you have those your closing date is firm -- if you're still in the window to have everything post after closing you might be ok.

I would find any other way to extend this past closing. You are very likely to be out your earnest money and the house if you spend your reserves or have the card report early.

If you are sure the loan is going through, your landlord should be a non-Issue as it will take at least 45 days to show up anywhere (which you can pay after closing to stop any reporting... you already have somewhere to move so upsetting them should have little effect on you).

[Anonymous]

Maybe I'll try to extend paying the rent but I still have the issue with the family member needing their funds back to pay their bills.

Hopefully the credit cards don't update early. They haven't in the past so it shouldn't appear in a sp

[VALoanMaster]

Technically, you could pull the funds from your reserves now because the lender/underwriter has already verified that you have the money. If you are 4 days out from closing, the lender should have already given you the clear to close. Do you have the CTC and when did provide the last bank statement?

[Anonymous]

No CTC yet but I signed the closing disclosure today.

[VALoanMaster]

Have you already submitted your bank statement to document your reserves?
Make sure you run this by your LO too.