Total min payments on cards??

RE: Total min payments on car

Don't know that answer,but I do know that just about every mortgage lender has different criteria. Will this be your first home that you will be buying? It will probably be best to get Pre-qualify for loan either FHA oe even HUD. Coventional mortgage loans are better suited for the couples that aren't blood related like myself and other half. Did you or hubby qualify for VA loan? Find someone locally such as builder and inquire about builder loans and etc...and go from there. AND Always have an amerization profile done with 30 year mortgage -vs- 20 year mortgage and see the difference and you'll see that monthly payments will not differ that much,in other words,opt for 20 year instead of 30 and save lots in interest. And don't forget to have your taxes and insurance included in payments.Saves time and money in long run and don't opt for no kind of balloon payments what so ever. Check into all of these things.

 

RE: Total min payments on car

Wise decision and also open a intert savings acc't,if you don't already have one,and build your capital for your down payment.Hav to show that n e way.Liquidate any assests you have that could pull yur score down.

 

RE: Total min payments on car

If you are going through FHA for a mortgage.Yes they will count it as spent money even if you have a zero balance because they don't want to see you get into financial trouble with any creditor.Just having 2 cards is enough with no more then 5K combined with both cards.

 

RE: Total min payments on car

I think that is right mom. It is potential debt. That's another reason to close any unneccessary accounts.

roni,

 

RE: Total min payments on car

I agree with the above posters. Even if your balance is zero it is treated as potential debt, however, I purchased my second townhouse in 1994 with lots of outstanding credit debt and close to $150,000 potential debt. Most lenders are more interested in your debt to asset ratio, not your potential debt to asset ratio, of course I have only had 1 30 day late payment to my credit history in over 20 years, so that may have counted for something.
Bottom line, if you are not using this credit accounts close them, you will be able to open new ones relatively easy once you are a homeowner.

http://www.creditsense.com

 

Personally, I would wait

I would talk to the lender first, and ask them if they would like the accounts closed. If they want them closed, you can close them that day, and you just need to bring proof that they're closed before closing. You don't need to wait for them to be reported as closed on you're credit report. That way you don't need to close the accounts unless you have too (unless you want to close them now), and you will be able to get proof that they're closed before the loan could close anyway

 

RE: Credit Wise

Only close the ones you really don't need.Having aleast 2 cards with 2500.00 each would be safe because min-due payments wouldn't be any higher then 150.00 max.So FHA will approve you with a lower amount of availible credit.

Have a good day