Refinanced mortgage old loan still shows

Bogey1975 · ‎01-09-2021

DW and I refinanced our mortgage last month now the new loan shows with the old loan, will this bring down our mortgage score? Or does the algorithm account for a loan of the exact same amount? The old loan is through Wells Fargo, do I need to call them to remove?

dragontears · ‎01-09-2021

@Bogey1975 wrote:
DW and I refinanced our mortgage last month now the new loan shows with the old loan, will this bring down our mortgage score? Or does the algorithm account for a loan of the exact same amount? The old loan is through Wells Fargo, do I need to call them to remove?

I am not sure what you are asking.

When you refinance a loan the correct reporting is for the old loan to show as closed/paid and the new loan to show your current balance. Is that what is showing for you?

In regards to your question about mortgage scores, in my experience, the new loan will decrease your mortgage scores, doesn't matter if the new loan is the result of a refinance or a purchase.

Bogey1975 · ‎01-09-2021

@dragontears wrote:
@Bogey1975 wrote:
DW and I refinanced our mortgage last month now the new loan shows with the old loan, will this bring down our mortgage score? Or does the algorithm account for a loan of the exact same amount? The old loan is through Wells Fargo, do I need to call them to remove?
I am not sure what you are asking.
When you refinance a loan the correct reporting is for the old loan to show as closed/paid and the new loan to show your current balance. Is that what is showing for you?
In regards to your question about mortgage scores, in my experience, the new loan will decrease your mortgage scores, doesn't matter if the new loan is the result of a refinance or a purchase.

Currently both are showing as active loans.

dragontears · ‎01-09-2021

@Bogey1975 wrote:
@dragontears wrote:
@Bogey1975 wrote:
DW and I refinanced our mortgage last month now the new loan shows with the old loan, will this bring down our mortgage score? Or does the algorithm account for a loan of the exact same amount? The old loan is through Wells Fargo, do I need to call them to remove?
I am not sure what you are asking.
When you refinance a loan the correct reporting is for the old loan to show as closed/paid and the new loan to show your current balance. Is that what is showing for you?
In regards to your question about mortgage scores, in my experience, the new loan will decrease your mortgage scores, doesn't matter if the new loan is the result of a refinance or a purchase.
Currently both are showing as active loans.

I would give your old lender 45-60 days after you closed on your new loan to finish updating everything (in my experience it normally takes ~30 days but with the current state of the world things are still taking longer to report)

JVille · ‎01-09-2021

THIS.... my experience this last summer is that it took 60+ days for my old paid off mortgages to update and reflect paid off.