Old debts fell of reports - how will this affect a mortgage loan??

[Anonymous]

Hello,

This is my 2nd post - thanks for viewing.

I have 3 CO's that have recently fallen off of my 3 credit reports and I'm looking to apply for a mortgage later this year.

Mortgage loan will be somewhere between $200-250K, so I know there's a chance the lender will pull a ''full factual'' report, which would reveal these old unpaid debts.  Here are my questions:

1.)  How do I know which lender(s) actually pull these ''full factual'' reports?, should I ask them?

2.)  Have any of you obtained a mortgage with old unpaid debts (not showing on reports) without the mortgage lender spotting them?

Thank you

[RobertEG]

Most lendors concerned with unpaid, delinquent debt do not resort to ordering a special full-file credit report to find normally excluded derogs, such as a CO or collection, and then use that to uncover potentially unpaid debt.

They normally take the more direct approach of simply asking the consuemr to disclose any unpaid, delinquent debt as part of the application papets.

[Anonymous]

I guess they are counting on the applicant to disclose that information.  I'm also guessing that not everyone does...so then what, nothing?  They don't disclose, and the lender doesn't pull the full factual report, and everyone just moves on as if there's no issue?

[sisyphus_project]

I mean, you could not disclose, but if the mortagee relies on it and are damaged because of it, you're on the hook for fraudulent misrepresentation.