Hello and good morning!
OK you have 30 days until.closing. What is your debt to income ratio? Can your loan processor tell you or loan officer get that information? As long as you remain under that threshold you should be able to consolidate and be fine. Since the loan is not showing up on credit report like mine did not show that check will slow things down. If you have the ability to pay it off that should afford you enough time to clear caviers where it won't affect you but you will have to do one of the two. If you consolidate look at my notes and look how long it took me and they say that was fast. Best option would be to pay then clear but even if you don't it won't add that much to your debt to income ratio just make sure you have enough room. That's what they are going to be looking at.
OK you have 30 days until.closing. What is your debt to income ratio? Can your loan processor tell you or loan officer get that information? As long as you remain under that threshold you should be able to consolidate and be fine. Since the loan is not showing up on credit report like mine did not show that check will slow things down. If you have the ability to pay it off that should afford you enough time to clear caviers where it won't affect you but you will have to do one of the two. If you consolidate look at my notes and look how long it took me and they say that was fast. Best option would be to pay then clear but even if you don't it won't add that much to your debt to income ratio just make sure you have enough room. That's what they are going to be looking at.
@vlaw1084 wrote:
Hello and good morning!
OK you have 30 days until.closing. What is your debt to income ratio? Can your loan processor tell you or loan officer get that information? As long as you remain under that threshold you should be able to consolidate and be fine. Since the loan is not showing up on credit report like mine did not show that check will slow things down. If you have the ability to pay it off that should afford you enough time to clear caviers where it won't affect you but you will have to do one of the two. If you consolidate look at my notes and look how long it took me and they say that was fast. Best option would be to pay then clear but even if you don't it won't add that much to your debt to income ratio just make sure you have enough room. That's what they are going to be looking at.
Hello Vlaw. I am trying to help out my younger sister, who has a 15 year old defaulted Federal Student loan, but does not show up on her credit report. She wants to rehab, but is terrified that her existing credit lines thru credit card banks will be drastically cut if a rehab shows up on her credit. I have no clue. she is not looking for a mortgage at the moment, but wants to care of this. Thanks for any help.
FHA does not require a clear CAIVRS in regards to delinquent student loan debt.
Please read all the documentation from the FHA handbook and two emails received directly from the FHA resource center in my thread here:
Since I have two emails directly from the FHA Underwriting department and one from my lender (who showed my paperwork to his underwriter), there is no doubt I have my bases covered. I am not willing to tank my credit by leaving the default on there by doing a consolidation when I know I do not have to. I am sorry that your lender did not know this. It would have helped you in the long run! To be fair, my loan officer did not know either. I did a LOT of reading to find what led me to ask my lender and the FHA about the rehab being enough to qualify.
Actually my whole point was that the caivrs DOES NOT need to be clear if you show in writing that you have an agreement. Caivrs will not be clear until the rehabilitation is completes after 9 payments. I will certainly let you know when we close and thanks you for the reply.