Home Buying in Brea>Question Details

russ, Home Buyer in Brea, CA

im closing in 7 days and my credit score just dropped 80 points will they check my credit again before close and deny my loan

Asked by russ, Brea, CA Mon Nov 19, 2012

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Claudia Muller Gravelle’s answer
Russ: I see that your question is 45 days past, but...lenders are now required to run your credit prior to funding your loan.
What they are looking for are new accounts and increases in balances and, in some cases, current late payments.
0 votes Thank Flag Link Fri Dec 28, 2012
New requirements do ask for a credit report to be run prior to close. Generally, credit scores will drop due to high credit limits being at 50% or more, new accounts, late payments.
What is being looked at is new debt. Are those new balances or accounts going to effect your ratios? Then you could be looking at change in your qualifications.
Great advice is to discuss this ASAP with your loan officer as this could be a potential problem especially if you are tight on your ratios.
1 vote Thank Flag Link Tue Nov 20, 2012
Hello Russ, Yes, they will check before funding at the end. What were your fico's and what are they now and why did they drop if you know? Sounds like a 30 day late or something? If it is an old collection or something like that it shoudl be an easy fix? What did you find on your reports? Let your loan officer and Agent know if they don't know. I can raise fico scores within 3-4 days directly with the bureaus in most cases but I don't know. Good Luck.

I can fund the loan in two weeks since you have an appraisal if you need me. Your Lender will let you know if they can or can't do it then and if not I can. I would need a copy of the full loan package but would like to know the details beforehand. If you could email me a copy of your reports I can advise you to the possibilites? It wouldn't be the first time I saved a deal that fell below 640 fico score. Let me know...

http://www.under640ficoscoreloans.com/Pages/ContactSheryl.aspx
Sheryl Arndt, Real Estate Broker – Sr. Loan Officer CA only
REO & Short Sale Specialist
20+ Years Experience
DRE# 01140252
NMLS# 297251
760-486-4225
1 vote Thank Flag Link Mon Nov 19, 2012
You should be talking with your agent and lender who are helping you
It would depend what happen and why it happened. It may or may not effect your loan. Talk to your lender

Ingrid Ski Realtor
OCAreaHomes@gmail.com
1 vote Thank Flag Link Mon Nov 19, 2012
It may if they have have not given you the final loan approval. They do tend to check all details again in the final review stage.
0 votes Thank Flag Link Fri Dec 28, 2012
Industry standards is for lenders to do a soft credit pull to check for any new accounts, charges or changes on y our credit or fico score.

Libardo Quintero
NMLS 380933
949.861.0367
LQuintero@kinecta.org
0 votes Thank Flag Link Tue Nov 20, 2012
You need to discuss with your agent and lender ASAP. Obviously YOU did "something" . Either you bought something or you were late on paying something. As others have already said, when you are in the process of getting a mortgage you cannot "do" anything.

Yes, the lender will pull your credit report at least once, maybe twice just before closing and yes, if this isn't fixed there will be a big problem.

Best to get it corrected now if possible.
0 votes Thank Flag Link Tue Nov 20, 2012
Yes, they will check and yes, it could impact your mortgage and ability to buy the home.

Why did it drop? That is a huge issue and a large drop. Generally, Realtors and Lenders warn buyers not to do anything that will change their credit.

My best advice is to pin down the cause of the point drop and arrange swift payment to that creditor you owe money to...then you can get a rapid re-score.
0 votes Thank Flag Link Mon Nov 19, 2012
How did that happen??

Yes....... they will check your credit prior to closing, and yes, it may affect your loan..........weren't you advised not to do anything that could change your credit scores? No big purchases........no late payments..............nothing !

Get on the phone tomorrow and call your mortgage rep and agent.......

Good luck....
0 votes Thank Flag Link Mon Nov 19, 2012
They will check for changes in credit prior to funding. If it is because you paid something late, then it is probably going to affect the loan. How much or whether it kills the deal depends on too many factors to comment without knowing your file. Contact your lender ASAP. Best of luck
0 votes Thank Flag Link Mon Nov 19, 2012
Discuss with your loan officer...how high was your credit prior to the drop...
0 votes Thank Flag Link Mon Nov 19, 2012
636 now 519 i miss a credit card payment
Flag Mon Nov 19, 2012
Why did it drop 80?
Did you buy something BIG?
0 votes Thank Flag Link Mon Nov 19, 2012
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