Does anybody know if when you apply for a mortgage do they check the ACTUAL balances on your credit cards or just what is listed on your credit report. Say my credit report has a 1000.00 balance but the report only says 56.00. Is there any chance they will call? Especially if the debt ratio is pretty tight? Also, I know they run it again right before closing, do they take a closer look at that time? Thanks
Unless you have a lot of other question marks and funny things about your application it is not very likely that they would check... usually on the application they ask for all of you credit cards and balances... Kev
I did list everything on my app however I had a minor emergency and had to charge about 500.00. I know this is a huge no-no and plan to pay it off almost immediately. In the mean time I'm scared they are going to call and find out about it. The only "hinky" think about my app is my very tight debt ratio.
I wouldn't worry about it. If you can, try paying it off 30-45 days before settlement so it gives the creditor enough time to report it to the credit bureaus. Lenders just look at the overall picture so it you owed $4000 in credit card debt when applying for the loan, but paid $2000 off the $500 that you purchased won't make a difference because your debt to limit ratio still decreased. Dani
