USDA Loan

[Anonymous]

Long time lurker,

I'm currently in the final stage of the RDA - USDA Product - Annual Guarantee Fee, I have a list of conditions to explain such as inquiries, an account that hasn't updated as paid off in 4 months, old addresses, etc. My main question is the bank statements, me and my girlfriend decided to do joint accounts so I could handle the finances but I'm applying through the loan just on my own, my income is around $52k and middle score is 739.

Would they look at her income through the bank statements and question it? I've already said I'll be living on my own.

[NC_Mtg_Loaner]

You are buying a house and have a joint bank account with a girlfriend who will not reside in said house?

Be prepared for each of  you to provide an LOX stating as such and beware that mortgage fraud is a felonious crime, but if it is the truth, then so be it, document and attest to it and you should be ok.

It is out of the ordinary and will raise a red flag though.

[VALoanMaster]

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@Anonymous wrote:

Long time lurker,

I'm currently in the final stage of the RDA - USDA Product - Annual Guarantee Fee, I have a list of conditions to explain such as inquiries, an account that hasn't updated as paid off in 4 months, old addresses, etc. My main question is the bank statements, me and my girlfriend decided to do joint accounts so I could handle the finances but I'm applying through the loan just on my own, my income is around $52k and middle score is 739.

Would they look at her income through the bank statements and question it? I've already said I'll be living on my own.

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Hi DrumDream,

Is your girlfriend going to live in the house with you & if so, did you disclose her income as required by USDA to qualify under the USDA county income limits?

If she is going to live with you & you did not disclose her income, that is mortgage fraud & not something that you or your GF want to play around with.  

[Anonymous]

I disclosed this with my processor but he sounded unsure. We’ve been on rocky terms in the relationship and she’s been living with her family in another city for quite some time now. We’ve settled the differences on the account and agreed by the end of the year, split 50/50 and part ways.

I wasn’t exactly too sure if this would be an issue or something to just explain.

[NC_Mtg_Loaner]

Ok, do you already have another account without her name on it where you deposit money into?

Like a paycheck?  

If not, I'd get one yesterday and that would really help "sell" your story in a more convincing fashion.   PLUS, it helps you avoid any last minute diversions of joint funds AWAY from your account that you weren't expecting.

[Anonymous]

The joint account is only in my name but yes I do have another account through my bank that hasn’t been used in several months.

[CreditInspired]

IMHO, you’re walking on shaky ground. There are too many issues to resolve. Immediately STOP GF monies from being deposited into your account. I don’t understand the reason for this if she lives in another city. As Judge Judy says, if it doesn't make sense, something is just not quite ringing true. I’m not saying you’re not being truthful but as others have said, mortgage fraud is not a place you want to be even if you didnt know something was wrong. Get in front of this so it wont blow up up in your face.

Just my 2cents.

[homeloanexpert]

I strongly encourage you to contact your LO and go over all of this as they might not even be aware of what you have disclosed to your Processor. When you apply for a USDA RDL, you are required to complete and sign a Household Income Affidavit. If there is appearance that you have any additional income that you may have not disclosed on your application or on that income affidavit, the lender or the agency could request additional documentation. Such as tax returns from your girlfriend, paycheck stubs, or bank statement to look at her address and see if she appears to live with you. As you must to include "ALL" household income when applying for a USDA RDL for eligibility purposes. 

Best wishes to you!

[CreditInspired]

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