Will it hurt my credit on my preapproved home mortgage if I apply for a consolidation for my credit cards?
408639
This depends on a number of factors. First your pre-approval was determined on the state of your credit report at this time. You approval depends on your debt/income ratio and your credit history. It takes into account how many cards you currently have an obligation to repay. Often creditors like to see you having cards and how well you handle them, but too many obligations could scare them off. If you are simple consolidating into one loan, without adding to your overall debt to income ratio, then I see no reason this should harm you. If you are considering taking out more credit, then it would hurt you.\n\nHowever, if you could wait until escrowww closes, I think this would be a safer option. Usually it takes 30 days to close escro on a home purchase. I would get out there and find the house I wanted and close escro, then consolidate cards and other debt into one loan. I think it would also be easier to do so when you have purchased a home. It is always in your best interest credit wise to own rather than rent. When you own you are creating more assets in the form of equity. Lenders like to see your overall financial state and building equity is rather like money in the bank. \n\nI suggest you seek out a financial adviser, pay the fee for a professional opinion and not rely on what is written here.\n\nI wish you all the best life has to offer.
376062
I just received this loan application form and know nothing about it, but check it out.\n\nNorthstar Systems\n162-01 Northern Blvd., #199Flushing, NY 11358\nPre-Approval Loan Application\nFast Approvals on All Types of Loans-Guaranteed!\n\n\nNeed a Cash Loan for Personal or Business use, or a Debt Consolidation Loan to consolidate all your bills? We can assist you immediately.\n\nOur service offers:\n·Unsecured Personal Loans from $500-$10,000.00 (Bad Credit Accepted)\n·Debt Consolidation Loans up to $50,000.00\n·Military Loans and Federal Employee Loans\n·Business or Business Start-Up Loans (no limit)\n\nWe accept BAD, FAIR or NO credit applicants. Of course good credit is always welcome! No Homeownership Required! Loans amounts from $500-$250,000 available.\n\nWith over 12 years experience, our Nationwide Loan Service has helped thousands of people get the money they need, when they could not get a loan from any other source. Regardless of past credit history you can get the money you need, and re-establish your credit today!\n\nNorthstar Systems is a company dedicated to excellence, offering our customers prompt individualized service which is fully guaranteed.\n\nThe majority of applicants who apply are approved for the money they need. Of course, your are under no obligation to accept the loan even after you are approved. Interest rates are low, with flexible payment options to fit your needs.\n\nEven if you have been previously turned down, filed bankruptcy, have bad credit or good credit, we can help you get the money you need today!\n\nPlease complete the short Loan Service Application. Return it along with your one time $35.00 application Fee. Instruction on next page.\n\nWe believe in putting our money where our mouth is! In other words. If we do not successfully assist you in securing your loan, you owe us nothing. Your service fee is 100% refundable if you do not receive your loan.\n\nThe entire process takes 7-10 business days from the time we receive your Loan Service Application. You are under no obligation to accept the loan or loan amount offered once you are approved. You decide!\n\nOur service is 100% GUARANTEED\nIf your loan request is declined for any reason your service charge is refunded.\n\n\nHere is the actual loan application (the formatting is all messed up in this narrow space, but maybe you can at least tell what info they need:\n\nLOAN SERVICE APPLICATION FORM\n(Please Print)Date\n\nTell Us What Type of Loan You Need. Check One or All. We ask for general information only, we do not run a credit check!\nPersonal Unsecured LoanBusiness or Start-Up Business Loan\nDebt Consolidation LoanDebt Consolidation Program\nMilitary Loan-Federal LoanStudent LoanAuto Loan\n\nAmount of Loan Needed?How did you hear about us? \nApplicant Name \nPhone NumberE-Mail Address (If you have one)\nAddressCityState Zip Code\n\nMortgage'\nRent OtherTime at Current Residence\nEmployer's NamePosition\nLength of Employment Monthly Income Other Income\n\nCo-Applicant Name (If Applicable)\nPhone NumberE-Mail Address (If you have one)\nAddressCityState Zip Code\n\nEmployer's NamePosition\nI understand that all information given in this service application to Northstar Systems is held in strict confidence and is for general information only.\nWe Guarantee a Refund if for any reason your loan request is denied! 100% Guaranteed!\nThe company guarantees the client will be approved for the loan request or the service fee will be refunded. The company will assist the client for 60 days to secure a loan or financially related service. Client will pay service fee of $35.00 for processing loan information. Client will apply to referrals provided. Client must show applications were submitted and were declined by three lenders to be eligible for a full refund. promotional offers can be cancelled without advanced notice.\nLength of EmploymentMonthly Income\nOther Income\nApplicant Signature \nCo-Applicant Signature (if applica
368217
mattycindc is right on target!  Nice to see someone do the research before answering questions here.\n\nIt is generally recommended that you have 2-3 cards, and use them occasionally to establish a history for payments.\n\nIf you have more then 6, it makes it look like you have far too much available credit, and it will look bad to future lenders.\n\nWhen you close them, you are lowering your debt to credit ratio, which also looks bad.  It makes it look like you have suddenly used up a lot of your available credit.\n\nHere is your game plan.  If you have no plans to get a loan in the near future (6 months), then go ahead and close one or two cards.  It will lower your score for a short time, but your continued use of the other cards will quickly restore it.  Just try to keep 2-3 cards active.\n\nOther than that, you are doing everything right.  Pay on time, and keep your balances low.
892241
If you were to file a chapter 7 now on your credit report it will show that you would have filed 2 bankruptcies.  Under the new bankruptcy laws you will have to go to counseling before filing any bankruptcy and the counselors they are using are from Consumer Credit Counseling Services.  \n\nYou should continue with the chapter 13 or just payoff those bills with the funds you received from the sale of your home.  It will save your credit and you won't be turned down to buy another home in the future.   You also want to start getting your credit back on track by applying for a secured credit card.  Stay away from retail and department credit cards.  These type of cards are finance companies and will lower your credit score.
938272
Yes, but it should not affect the transaction you are having it pulled for. If you do not complete the transaction it will affect the next one you attempt to do. \n\nBrokers do serve a good purpose as they don't have to have your credit run several times to shop for the best loan for you. \n\nYeah that's a blatant ad, but ohh well! business is slow, you gotta start somewhere! :)
624423
If you are shopping for major investment loans, like for homes or cars, all inquries made within a 14 day period count as 1 hard inquiry. (as long as they are all the same kind of inquiry) This rule does not apply to credit cards.\n\nBut otherwise, each hard inquiry can shave 2-50 points off of your credit score.\n\nSo when shopping for credit, you must do your homework ahead of time, and organize your efforts accordingly.\n\nTake care,\n\nI.C. Jackson
1093532
Adding a name to a title is easy. Go to any escrow (or notary I think) and ask them to draw up the papers for a small fee. You'll also have to pay the county recorders fee. As for the low% mortgage, what you are looking for is a home equity loan. And since you said the house is paid for, you should be able to get a pretty good rate so long as you're not borrowing too much. Not a bad idea to consolidate your high interest debt. Good luck!
200993
If you just paid them of it will usually take about 30 days for that to reflect on your credit report.. how bad is your credit if is under 600 you should contact a company called nations point.. 800-770-4277 or H&R Block Mortgage  they usualle work with people that have less than perfect credit.. if you credit score is under550 you should waith or else your interest rate will be really high .. if your credit score is over 600 or better then call E-loan they have some really good programs .. that might be able sutable for you. I work in the mortgage industry
1084497
yeah, but it would be silly for small stuff like that. Try getting a "sears" or "lowe's" card first- you should be able to get a high enough credit line from them to buy those things, because refinancing your home, getting a second mortgage, is going to cost you MUCH MORE over the years when you are paying it back.
876224
I'm doing this right now. It's best if you have or can get a low interest rate loan and pay off balances all in one spot. Debt consolidation companies ARE NOT necessarily the best way to go. Some creditors will not work with these companies. Also, it can reflect negatively on your credit report. \n\nI recently transferred two of my three credit card balances to one loan, then cut up the cards. Now, I'm making two payments instead of four, and it had helped a lot.\n\nI'd say talk to several credit counselors for ideas. Read a lot of websites. There are plenty out there. \n\nGood luck to you!
991134
A debt consolidation loan is not a bad thing by any means... just PLEASE make sure you don't run up additional debt on the credit cards you're consolidating.  If you do, then you'll not only have to pay the consolidation loan itself, but you'll be right back where you were with your old credit card payments.
1175240
NOT consolidation.  What is commonly referred to in that category is a form of loan which PROTRACTS PAYMENTS over a LONGER PERIOD, but for which, in the end, if you do the MATH, you will END UP paying up to FOUR TIMES what you WOULD have paid with a reasonable time period.\n\nWHATEVER you consider or choose, be SURE you do the math for what the FULL COST your your decision will BE...financial AND OTHERWISE!\n\nCUT your EXPENSES, PAY it OFF, and put yourself in a money management program that keeps you OUT of that in future!\n\nBest wishes.
887404
There should be "opt out" info on the application (Check the back).  This will make it possible to opt out of all offers.\n\nBTW, your credit can't be too crummy, or you would not be getting pre-approved offers.  But be careful of the offers you accept.
45849
As already mentioned, here are most of the variables:  hard / soft inquiry, type of credit sought (house, car, credit card), and lastly (not mentioned yet), how many hard inquiries do you already have.\n\nOne of the bureaus (I think experian, but don't quote me) has a model which you can play with if you have joined their credit monitoring service.\n\nIn this model, it suggests that more than 0 inquires will drop your score 1 to 2 points.  Do between 2 and 3 hard inquiries per year and you will see reduction in your score by a few more points (say about 3 or more).  Whereas, if you have 4 to 6 inquires, the points are more likely to drop 5 to 7.  And finally, if you have more than 7 inquiries in one year's time, then your score drops 10 to 15 points (maybe).  \n\nAfter the top end of 7 inquiries within a years time, I believe whether it is 7 or 22, your score does not continue to drop.  \n\nAnd one last note:  it has been said, if your score is high, it won't drop that much.\n\nTrue and false all at the same time.\n\nWhat is high? If your score is 721, and you do even one hard inquiry, a drop of 2 points could put your score to 719, and now you have just gone from get just about any credit you ask for, to less than perfect credit where interest rates change.  On the other hand, if you have an 820, a drop of 3 points is inconsequential.\n\nSimilarly, if you score is 620 (not high) a drop of even one point could actually cause you to be disqualified altogether.  E.G. US Bank general criteria says you must have a min. score of 620 to even be considered for a home equity loan.\n\nSo while it is true that shopping for credit has become better in terms of scoring/inquires, some credit sources may not key it as they should and it will not necessary come across to the bureaus that all inquiries were (same purchase) related, and you will end up with several hard inquiries and a considerably lower score.\n\nWhy?  Because take for example the consumer who "thinks" he is shopping around by applying for credit at Sears, Circuit City and Best Buy.\n\nEach offer credit, each say they will give you a gift and a 10% discount on the washer you are thinking about buying if you open up a charge account.\n\nSo, you say, what the heck.  I'll just see who gives me the best deal.  And it turns out Circuit City has the best deal.  No payments for 6 months, 10% off the already sale price, and a free visa gift card valued at $50.  So you "shopped" around.  Right?\n\nWrong.  \n\nIf you had them pull your credit, and you decided to buy there, on those terms, you just qualified your file as a sub-prime borrower because as far as I know, credit bureaus penalize you for participating with any sub-prime lender--which by the way, yep you guessed it, no payments for 6 months funding is all through SUB-PRIME LENDERS.\n\nNow, they are supposed to be fixing this flaw, but to my knowledge, they have not!\n\nAnd one more thing, while I am on the war path....\n\nEven though you never "bought" at Sears or Best Buy, they sent you out a card anyhow, and the bureaus are now going to count those "shopping" inquiries as hard inquiries which DO COUNT AGAINST YOUR SCORE.\n\nYou see, the "system" in terms of counting works for mortgages or car loans--but not so full proof with other types.\n\nSuggestion:  You want to shop around, take your credit report (a tri-merge please) to those who you may consider doing business with.  Tell them, before they even get a chance to quack, "I know that you will have to run your OWN REPORT, but based on my "score" (that is all anyone cares about today anyway--nobody actually reads your file, unless they don't like your score) is your credit dept. likely or unlikely to approve this new credit account.\n\nIn which case, the clerk will say, "Well, let's just do an inquiry and find out."  That is where you say, "No, let's don't.  Rathe
495253
This is not likely to be helpful, and could result in you increasing your debt.  When a loan is processed and approved there are almost always fees to be paid. This lender may be planning to add the fees onto your loan balance.  He is trying to make a buck off of you. Be wary. \n\nThink of lenders as sales persons.  They are pushed either by greed or by management to "sell" and ethics are rarely their top priority.\nAvoid taking financial advice (or any other sort of advice, for that matter) from someone who stands to gain from one of your choices.
306195
Call the credit report agency and they should be able to help you. An inquiry on your credit report once in awhile does not look bad. It's when you've got alot of inquiries all in a short amount of time that knocks your credit score down. That is because it looks like you are applying for too much credit all at once and it makes you a "risk". And this is just a thought about that unknown inquiry on your report- did you file you taxes and get the next day "tax anticipation loan"? Because they do pull your credit for that. Just an idea. Good luck
984677
The missing pieces of this puzzle to quote solutions are credit score and value of the home. \n\nThere are many loan programs designed for debt consolidation. maybe a little guidance from the credit score side would be helpful...if we get your score as high as it could be it helps with rate / fees etc.\n\nI train loan officers and write a blog that can help you...check it out.