I recently pulled my FICO credit score and it's 574. Eeek. I had some unpaid Credit Cards from when I was in college and have paid all of them

Asked by aef468, Philadelphia, PA Sun May 16, 2010

off now, but two of them were sent to collections. So even though they are paid, those collection bits and late pays are all over my credit. I have a very good job, and make 128k a year. I am just now getting interested in purchasing a home. How much can I afford and is there a loan out there that's available and affordable to me? I am a female, 32 years old, if that matters, and a first time home buyer.

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7
Ali Qureshi, Agent, Pleasanton, CA
Thu Jul 24, 2014
You do have options under FHA and HUD guidelines to qualify.
0 votes
Anna M Brocco, Agent, Williston Park, NY
Thu May 20, 2010
If your charge offs were paid, and you haven't done so yet--do dispute them and have them removed from your credit--Consider visiting with any qualified loan officer(s) first, see what your budget can handle and have your credit score checked again--theirs is often different--Currently FHA loans do require a minimum credit score of 620 and 3.5% down--there may be lenders who are willing to work with a lesser score, however the interest rate may be higher.
0 votes
aef468, Home Buyer, Philadelphia, PA
Thu May 20, 2010
I just pulled my credit scores from Experian, EquiFax and TransUnion. Experian has it 645, EquiFax has 588 and TransUnion says it's 592. Which ones do lenders use? I'm guess the 590 range is it?
0 votes
Robert LaPie…, Agent, Blue Bell, PA
Mon May 17, 2010
How old are the collection accounts? Maybe sending in a dispute form might be the best way to get thise down..
0 votes
Sandra Wyland, , Allentown, PA
Mon May 17, 2010
Hello,
If all of the credit is old collections and chargeoffs... it is not as bad as if it were recent lates. The fact that you have a great job helps! We have a program avaialbale where we can go down to a 560 credit score as long as you meet certain requirments. I would love to chat with you more about this as well as ways to increase your credit score... please contact me if you would like to discuss. I can be reached at 610-462-9118.

Regards,

Sandra Wyland
Allied Home Mortgage
http://www.myallied.net
0 votes
Dp2, , Virginia
Mon May 17, 2010
You might also consider buying with creative financing (most likely a lease-option).
0 votes
Alan Openshaw, Mortgage Broker Or Lender, Southampton, PA
Mon May 17, 2010
Hello aef,

A 574 is not good but it is definitely workable.
I can finance with a 580 credit score or better. However, the higher the score, the better the rate you can get.
I usually recommend my clients to a company that for $150 can fix your credit so that you can get a mortgage.
My suggestion is not to try to fix your credit yourself. It is very hard to succeed when you don't know the rules.
.
Call me If you are interested.

Regards,
Alan Openshaw
Cornerstone Lending Inc
215 674 9059
0 votes
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