Applying for a Mortgage – First things first

Buying a HomeYou think your ready to purchase a new home and decide applying for a  mortgage first is the smart thing to do.  And you would be correct.  But first things first, prior to apply for a mortgage check you credit file.

Credit reporting agencies can make mistakes so it is wise to check your credit report and remedy any errors.  Depending on whether you are using a local lender or a national lender you may or may not know which agency they pull their credit reports from.  And in many cases a lender may pull from all three big agencies.  For this reason it is important that you do the same thing.

Your credit file will most likely look different across the three agencies because all creditors do not report to the big three.

Annual credit report www.annualcreditreport.com is a site supported by the big three TransUnion, Experian and Equifax.  Once a year you may request a free copy of your credit report.

Once you have the copies if there are errors you must report any errors to the individual credit reporting agencies.  They have 30 days to investigate and notify you if changes were made.  Sometimes it may be necessary to go directly to the creditor that may have reported something in error.  You can report those errors online at the individual websites.

Please contact the nationwide consumer credit reporting company that provided the credit report.

Equifax – www.investigate.equifax.com

Experian – www.experian.com

TransUnion – www.transunion.com

Sometimes your Credit is not what you thought it would be, don’t be discouraged you can do some simple things like paying down balances on credit cards, to improve your credit score.  Contact us if you want assistance in evaluating what can be done to improve your score.

You will be given an opportunity to purchase a credit score from any of the nationwide credit reporting agencies after you receive your free annual credit report from any of them in response to a request made through this website, we do not recommend paying for your credit scores.

You should also be aware that the credit score you may receive from any reporting agency could be different from the score that a lender may receive.  Every lender has their own process and data they use in their own evaluation process.  Just don’t be surprised if they tell you something different than you have found on your own.

The bottom-line is that you must be in control of your credit history and should be informed about what is in your file.   Before applying for a mortgage check your file and take the appropriate actions to put yourself in the best possible light for the lender.

About Jeff Steinacker

At The Mortgage Network of Ohio Inc., we believe that you should have more than one option for a Mortgage. We will take your application, work every possible scenario, then offer you options of loan programs available to meet your needs. Jeff can be reached at 513 346 4070 x10 or jeff@themortgagenet.net
This entry was posted in home buying, Mortgages and tagged , . Bookmark the permalink.