fha and medical collections..

[endzone4754]

I have a question i hope someone can help me with.. I have been approved for a fha loan, but i have paided off all  ,my medical collections except for one dentist bill that was result of my illness.. is that bill considered a medical collection and will my fha underwriter make me pay it before closing. .it is 5000 bill. ? any advice  or anyone been in that situation? thanks

[sports1965]

Doesn't matter if it's a medical collection or not

Underwriter is going to ask you to pay it because it's more than $2000 

[endzone4754]

thank you so very much.. i am prepared to pay it.. should i wait til closing? 

[ShanetheMortgageMan]

---

@sports1965 wrote:

Doesn't matter if it's a medical collection or not

Underwriter is going to ask you to pay it because it's more than $2000 

---

Unless the lender has a specific overlay, then that is not correct.

Guidelines on FHA's policy on collections can be found at http://ficoforums.myfico.com/t5/Mortgage-Loans/FHA-changing-collection-account-judgments-amp-dispute...

[endzone4754]

Yes by reading what you just sent me. .. medical collections are excluded.... is that your understanding also..? shanethe mortgage man.?

[ShanetheMortgageMan]

Yes, that is correct.

[Anonymous]

 Should we pay off a $1940 medical collection from may 2008 that was opened in August 2009. It will fall off next year at the 7 year mark. We have a contract on a home and we are looking at the Vhda fha plus or fha 3.5% program. Any insight would be helpful.

---

[DallasLoanGuy]

i cannot advise you to not pay a bill.

but if you do, do it after your mortgage closes.

you dont want to make it look more recent by updating

[Anonymous]

We was told to pay it at closing for vhda fha plus. If we are not approved vhda do we have to pay it under a fha 3.5% loan ?

[ShanetheMortgageMan]

No.