I applied for a loan with a score of 590. How probable is it for me to get approved? If so what type of interest? My main problem is my utilization percentage that I have been working on. The problem is that I have found a house that I really like. Any suggestions would be appreciated.
Hello! With a score of 590, you're most likely to be offered a sub-prime product... and no, the rates certainly aren't as attractive as those you see in the newspaper or on Lending Tree. You don't mention whether or not you're consistently employed, if you have downpayment funds available, etcetera. If you ARE employed and the home you've fallen in love with is within guidelines, you may be eligible for FHA financing (which offers attractive rates -- just like in the papers & on TV)! If you're NOT employed and intend to go with a 100% financing, Stated Income program, plan on an interest rate in the 9% to 11% range on a 2/28 or 3/27 product with a prepayment penalty. Hope this helps. Best Regards -- BrokerBass
