Hi all,
I'm about to close on a new home, and had a giant issue pop up this week.
We found the house earlier than anticipated, while we were still getting our down-payment lined up. Because I still needed to liquidate some assets, I pulled about $10,000 from a line of credit in order to come up with the escrow deposit. I understand all of the advice about not opening new credit before closing (longtime lurker here) but it was really the only option, and this was only meant to be a short term bridge until the cash was available.
Unfortunately, this was reported to the credit agencies before I could pay it off, and my score dropped (from about 770 to 720). Earlier this week, I received a "Changed Circumstances Package" reflecting an increase in my origination fees due to my lower credit score (to the tune of $4000). I've since paid down $5000 on the line of credit, and will do so completely within a few days.
Unfortunately, the closing is scheduled for 4/20, and my bank will not report the 0% utilization in time to the agencies. I could *maybe* get the closing pushed to 5/1, but not beyond, and I don't think this will be sufficient time to increase my score.
I've spoken with my loan officer, and he's trying to get an accomodation approved. I've also called my bank to see if there was any way to report the 0% utilization to the rating agencies. I'm waiting to hear back from both, but not optimistic on either front.
Is there any other potential solution that I'm missing here? Any way to quickly get the agencies to update?
Any assistance would be greatly appreciated, thanks!
