In obtaining a home
mortgage, it was never a question of if I qualify
but when. With good credit erasing bad credit, in time, all
past
"sins" are gone. The only other variable was income vs. debt.
Well,
just recently I have added a third consideration which is where.
Where you go to obtain financing does make a difference.
Two
cases in the past few months have made me a believer. First,
a
buyer was told he would have to wait 6 months, improve his credit
score,
and then reapply. Second, the ultimate fear, the "Birmingham"
underwriter
turned down the buyer's loan the day of closing. In both
cases a
different mortgage company was able to provide financing. In
the
last case the closing only changed by one day! I have asked
LESLIE JACKSON
the branch manager of Regions Mortgage Millbrook (285-0250) and
Tammy Moon Turner the branch manager of Countrywide
Mortgage
Montgomery (213-0997) to provide us with their insights in
mortgage
lending.
Tammy, how are you able to make a loan
happen when
another
company cannot? |
|
Jim,
Countrywide is in a unique position to provide up front
loan approval. We have underwriters in our offices and they
can
approve loans on the spot. In a traditional loan office 3
people
are involved in a loan. First, the loan originator, the
person
who
takes the application. Second, the loan processor who puts
the
paper
work together and Third, the underwriter who give final approval.
In
some offices these 3 people can be in 3 different locations, even
possibly
in different cities and states. At Countrywide all 3 people
exist
in the same office and work towards the same goal. This gives
us
an advantage over some other companies.
|
| Can you mention some of
your programs? |
Countrywide
offers a large variety of lending programs from 100%
approval with no PMI to your regular conventional FHA & VA
programs.
We even have a no income no asset verification loan ranging
from
5% down to 19% down subject to your credit score.
|
Tammy, how can
a person improve their credit score and what are
your thoughts on these quick credit scoring repair and improving
programs which you hear advertised? Do they work?
(September 2001).
|
| We
have found that the best way to increase your credit score is
to pay off any collections, judgments, and any derogatory credit.
Make sure that you do not have any "lates" on any of your
credit
files. A recent late payment can reduce your credit score
substantially. Therefore just by making payments on
time
improves your score and older late payments are weighted less
over time.
Keeping your credit lines to a minimum and avoid high balance
credit cards which are borrowed against to their maximum.
Also be careful not to open too many accounts, you score can
be
lowered due to having your credit pulled by several companies over a
short
period. Before believing that there is an easy way to improve
your
credit file, I would suggest seeking competent advice.
Countrywide
provides services that will educate you on your credit so that you may
qualify to purchase a home if not now - in the future. |
Thanks Tammy, for your
expertise and time both are greatly appreciated.
|