My best LOX (what us Mortgage folks call letters of explanation) was a two and a half page essay from a 23 year old young lady. She just graduated college and was working for about 6 months. She and her husband were first time homebuyers using FHA. From the time she was 18 (when her first credit card was opened) until present she had always been a payment late on almost every item on her credit report. One month she would be late on her Sears card, the next on her student loan and the next on her Visa, and so on. Even though her credit was over 680, the Underwriter wanted to know why, for the past 5 years, she was late on a payment very month.

The LOX went into great detail of the years of being teased because she grew up with two Moms. She began getting teased in 8th grade because her mom was a lesbian. Every month from the time she was 12 she would go to group therapy to overcome the embarrassment of everyone in school knowing her mom was a lesbian. For days to follow she was unable to deal with life, and would slip into a depression and would stay in her room. This is why she was unable to pay her bills on time. Once she would, as she put it, “snap out of it” she would return to reality and function again as a normal adult.

If I remember correctly, she used the word Lesbian 24 times and “discrimination” about 15 times.
The Underwriter approved it without one question! I am not sure if she felt sorry for her or the words lesbian and discrimination scared her and feared a lawsuit from gay rights groups!