When you declare your monthly credit card minimums on mortgage app, do you have to include credit cards with a zero balance... if so, how long with a zero balance for these not to be counted?
No, I don't believe so... Used to be that mortgage companies also considered your potential credit card debt, and it was recommended that you call cc companies and request a reduction in credit line before applying for a mortgage. This was several years ago, and I haven't read anything on it of late, I wander if that was a change in thinking after FICO appeared.
No you don't have to put a minimum payment for cards with a 0 balance, depends on the application whether they are asking you to list out all your credit cards or not. They will have a credit report and so will see your cards that have 0 balance. Different banks treat 0 balance cards differently some will totally ignore them, some will figure a minimum payment anyway and include that amount in your DTI calculation. If you are going through a broker he should know. If your DTI is below 50% shouldn't impact you too much either way if it is below 36% then don't worry about it. Fletch
I thought that the mortgage company decides what the minimum payment will be from your credit reports. They usually use a formula of a small percentage of your balance. Mark
