Posted on: 16th Dec, 2009 06:17 pm
i have a heloc and i want to refinance it, but citizens bank will not let me do it. and if they do, it will be at a much higher interest rate and my monthly fee will double. i have never been late or ever missed a payment with them. why can't they just leave it alone? they -said there was a "balloon" on it, but my brother co-signed for me 10 years ago and neither he nor i ever heard that there was a balloon. they are calling in my loan in jan. for almost 42,000. i owe 51,000 on my first mortgage. i'd like to refinance both together, but everyone is saying my credit score isn't high enough. what do you think???? my score is 665. help! i running out of time. ps....my credit score was higher but i went to seven different banks, they all checked my score. i had no idea that checking my score will lower it. it's best that you email me my answer because where i work it's difficult to talk....thank you... christine
Welcome christineac,
With a score of 665, it will get difficult for you to qualify for a refinance. Lenders would require a credit score of 700-720 in order to approve a loan for you. As the different lenders have checked your credit report in order to refinance your loan, it would be considered as a hard inquiry. Thus, your credit score has lowered to some extent due to this. If you do not improve your score, it can be difficult for you to qualify for a refinance. You can check out the given page to know some steps to improve your credit score:
http://www.mortgagefit.com/credit-rating/credit-repair.html
With a score of 665, it will get difficult for you to qualify for a refinance. Lenders would require a credit score of 700-720 in order to approve a loan for you. As the different lenders have checked your credit report in order to refinance your loan, it would be considered as a hard inquiry. Thus, your credit score has lowered to some extent due to this. If you do not improve your score, it can be difficult for you to qualify for a refinance. You can check out the given page to know some steps to improve your credit score:
http://www.mortgagefit.com/credit-rating/credit-repair.html
christine, if you have sufficient value in your home, you would easily qualify (based on score) for an fha mortgage, which allows you to borrow up to 85% of the value of the home. the nonsense about 700 scores is only relevant to conventional loans, not fha. rates are quite comparable.
you'll have to be certain that your income will carry the new debt, of course. of those 7 banks you visited, did you not get any favorable news at all? i'm surprised at that...one of them ought to have some notion of what it takes to do fha loans, after all.
don't give up, but before you allow someone to run credit, be absolutely certain they can help you based on your information. for example, take your pay stubs, bank statements, etc. and tell them your current debts and your credit score and ask if that scenario works. if it works, complete your loan application, have them run credit and move on.
you'll have to be certain that your income will carry the new debt, of course. of those 7 banks you visited, did you not get any favorable news at all? i'm surprised at that...one of them ought to have some notion of what it takes to do fha loans, after all.
don't give up, but before you allow someone to run credit, be absolutely certain they can help you based on your information. for example, take your pay stubs, bank statements, etc. and tell them your current debts and your credit score and ask if that scenario works. if it works, complete your loan application, have them run credit and move on.
read "move on" as "move forward."
George is correct. Your scores are fine. Did they say the value of your home wasn't enough to consolidate both mortgages? That could be an issue.
