How much of a problem will I have getting approved?

[Anonymous]

We're trying to relocate and I'm worried about my past credit flubs. I don't know how much of a problem it's going to be. The two collection balances below I can easily pay off whenever, I just haven't because I don't know if that will make it worse in the short term. Income is high, very little debt. Here are all the details I could fill in. Should I be freaking out yet or not at all?

Gross income: $336,500
W2 Full time employment
9 years at current job
20 years in industry

Assets
401k - $70,000
Stock - $30,000
Savings - $10,000
Home equity - $200,000 ~

Location: Pierce county, Wasington 98332
Single Family Home - Vacant
Primary home, 2 occupants
$850,000
$100,000 Down payment

Monthly Debt:
$2500 - Mortgage
$550 - Car

Scores: EQ 697, TU 689, EX 678

5 OPEN CREDIT CARD ACCOUNTS - 100% ON TIME - $20,000 TOTAL CREDIT - $78 BALANCE
4 CLOSED CREDIT CARD ACCOUNTS - 100% ON TIME
1 OPEN AUTO LOAN - 100% ON TIME - $550 MONTHLY
6 CLOSED AUTO LOANS - 100% ON TIME
1 CLOSED MORTGAGE - 100% ON TIME
1 OPEN PERSONAL LOANS - 100% ON TIME
1 CLOSED PERSONAL LOAN - 100% ON TIME

NEGATIVES
1 OPEN MORTGAGE - 30 DAYS LATE - 11/16, 12/16, 1/17, 10/18

3 CLOSED AUTO LOANS W/ NEGATIVES
- 30 DAYS LATE - 1/17
- 30 DAYS LATE - 9/15
- 30 DAYS LATE - 10/14, 6/15, 7/15, 12/16, 12/17, 1/18

2 CLOSED PERSONAL LOANS W/ NEGATIVES
- PAID CHARGE OFF - 10/16 - $0 BALANCE
- PAID CHARGE OFF - 3/17 - $0 BALANCE

2 COLLECTION ACCOUNTS
- DOFD: 11/16 PAID: 4/19 - $0 BALANCE
- DOFD: 10/15 - $5293 BALANCE

1 CLOSED AUTO LOAN W/ CHARGE-OFF DOFD: 6/15 - $14,027 BALANCE

8 INQUIRIES

[MauiMan85297]

I think you're fine, as far as paying off the collection accounts_ I wouldn't but wait until the UW says what action may be needed and at worst they apply a % of the outstanding debt as a monthly against your DTI but you're fine because of the $28k income you have.

[VALoanMaster]

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@Anonymous wrote:

We're trying to relocate and I'm worried about my past credit flubs. I don't know how much of a problem it's going to be. The two collection balances below I can easily pay off whenever, I just haven't because I don't know if that will make it worse in the short term. Income is high, very little debt. Here are all the details I could fill in. Should I be freaking out yet or not at all?

Gross income: $336,500
W2 Full time employment
9 years at current job
20 years in industry

Assets
401k - $70,000
Stock - $30,000
Savings - $10,000
Home equity - $200,000 ~

Location: Pierce county, Wasington 98332
Single Family Home - Vacant
Primary home, 2 occupants
$850,000
$100,000 Down payment

Monthly Debt:
$2500 - Mortgage
$550 - Car

Scores: EQ 697, TU 689, EX 678

5 OPEN CREDIT CARD ACCOUNTS - 100% ON TIME - $20,000 TOTAL CREDIT - $78 BALANCE
4 CLOSED CREDIT CARD ACCOUNTS - 100% ON TIME
1 OPEN AUTO LOAN - 100% ON TIME - $550 MONTHLY
6 CLOSED AUTO LOANS - 100% ON TIME
1 CLOSED MORTGAGE - 100% ON TIME
1 OPEN PERSONAL LOANS - 100% ON TIME
1 CLOSED PERSONAL LOAN - 100% ON TIME

NEGATIVES
1 OPEN MORTGAGE - 30 DAYS LATE - 11/16, 12/16, 1/17, 10/18

3 CLOSED AUTO LOANS W/ NEGATIVES
- 30 DAYS LATE - 1/17
- 30 DAYS LATE - 9/15
- 30 DAYS LATE - 10/14, 6/15, 7/15, 12/16, 12/17, 1/18

2 CLOSED PERSONAL LOANS W/ NEGATIVES
- PAID CHARGE OFF - 10/16 - $0 BALANCE
- PAID CHARGE OFF - 3/17 - $0 BALANCE

2 COLLECTION ACCOUNTS
- DOFD: 11/16 PAID: 4/19 - $0 BALANCE
- DOFD: 10/15 - $5293 BALANCE

1 CLOSED AUTO LOAN W/ CHARGE-OFF DOFD: 6/15 - $14,027 BALANCE

8 INQUIRIES

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Are you looking to buy in Pierce County, WA?

If so, you'll probably need to put $108,250 down to get your loan amount down to the conforming loan limit.

The guidelines will be a little easier compared to a jumbo loan.

When did the 2 collections last report and when did the charged off auto loan last report?

You may want to settle the auto loan charge off which will help your scores & it keep that account from turning into a collection.

[Anonymous]

Yes, buying in Pierce County. I think I was rounding up, loan would be under the FHA limit and I may do more anyway.

Collections last reported 4/19 on the $0 balance one, and the one with the balance is current as of March.

Charge-off last reported 12/19.

[VALoanMaster]

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@Anonymous wrote:

Yes, buying in Pierce County. I think I was rounding up, loan would be under the FHA limit and I may do more anyway.

Collections last reported 4/19 on the $0 balance one, and the one with the balance is current as of March.

Charge-off last reported 12/19.

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The FHA loan limit is the same as the Fannie/Freddie loan limit of $741,750.

With the amount of money you're putting down, hopefully you won't need to go FHA.

As a lender, I would run a credit simulator to see if settling the CO will improve your scores & how much your scores would improve if you were able to get the collection deleted.