MN lenders that allow 580 credit score!?!?!

Asked by Smbknigh, Duluth, MN Wed May 22, 2013

I am wondering if anyone has had any success trying to find an actual bank or lender that does a 580 credit score not someone like a lender's network that will send you to a bank after you pay to have your credit score pulled... Any advice?? Do any Real banks do this?

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5
Russ Douville, , Saint Paul, MN
Fri May 24, 2013
I'd like to help you, but I can't go below 620. Even if I could, it may not be the best thing for you. You typically see higher rates/fees with scores below 640, and you'll often run in to higher down payment requirements as well.

My suggetion would be to talk to a housing counselor who help you get your credit and finances "mortgage ready" and then refer you to a lender that meets your needs.

I've included a link to a site to find a prepurchase housing counselor in your area.

Best of luck in your search.
Web Reference:  http://www.hocmn.org
0 votes
Trevor Curran, Mortgage Broker Or Lender, Great Neck, NY
Thu May 23, 2013
Good morning Smbknigh,

We see many credit reports with low credit scores (anything less than 620), and often many scores in the 500's. This is BAD credit. If you are one of the folks affected by this terrible economy, you have a low credit score and you have a dream of buying a home, here's some simple advice for you.

It is unlikely you could be approved for mortgage financing with that credit score at this time.

Beware of any mortgage professionals promising you an approval with such a low score. Wait on buying a home. I recommend you take the time to resolve your credit issues.

First, settle any outstanding debt. If you owe money on collection accounts, charge-offs and/or judgments, make payment arrangements and get these accounts paid promptly.

Next, begin rebuilding your credit. If you have current accounts with good payment histories, or even some previous late-payment-blemishes, make sure you continue to pay those accounts on time. If you do not have any existing credit accounts then you'll need to establish several in order to create a viable credit history.

I have found that CONSUMER ACTION is an excellent resource for objective advice on all things credit related. You'll find free and sincere advice on everything from settling collection accounts to rebuilding credit to building credit from scratch on their website.
http://www.consumer-action.org/

Beware of anyone offering to "repair" your credit! The Federal Trade Commission issued a stern warning last year that such offers are scams. Find more from the FTC HERE.
http://www.consumer.ftc.gov/articles/0058-credit-repair-how-…

The best way to buy a home is to have a decent credit history combined with sufficient Income and Assets for a home purchase.

The best way to have a decent credit history is to settle negative outstanding obligations and pay all your bills on time for at least two years.

Trevor Curran
NMLS #40140

*If you thought my answer was helpful, please give me a “Thumbs Up” or “Best Answer.” Thanks!
0 votes
Lenny Frolov, Agent, Brooklyn Park, MN
Wed May 22, 2013
Bryan Kiani 612-804-9328 cl 952-897-6938 office
0 votes
Smbknigh, Home Buyer, Duluth, MN
Wed May 22, 2013
Yes!!! Please... That would be great
0 votes
Bryan Kiani w/ Chase 612-804-9328 cl 952-897-6938 office
Flag Wed May 22, 2013
Lenny Frolov, Agent, Brooklyn Park, MN
Wed May 22, 2013
I have a lender that will go down to 580 if you would like I can message you his number.
0 votes
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