Credit Do’s and Don’ts

In today’s lending environment there is a huge importance put on credit scores. Credit scores give lenders an insight into what type of borrower you might be based on how you treat your current and past creditors. Credit scores can severely fluctuate so please read and follow these DO’s and DON’Ts to avoid any delays with your loan approval, and ensure you get access to the best interest rates. We will be monitoring your credit until the day AFTER closing, so follow this list starting right now and until we actually close your loan.

DO continue making your mortgage or rent payments on time
DO stay current on all existing accounts (a 30-day late notice will destroy your scores)
DO keep working at your current employer
DO continue living at your current residence
DO continue to use your credit as normal
DO call us if you have any questions

DON’T lie to us or withhold information about your financial situation
DON’T make a major purchase (car, boat, jewelry, etc.)
DON’T apply for new credit (even if you seem pre-approved)
DON’T open a new credit card
DON’T close any credit card accounts
DON’T max out or over charge on your credit card accounts; keep your balance below 40% of your available limit
DON’T consolidate your debt onto 1 or 2 credit cards
DON’T transfer any balances from one account to another
DON’T pay off any loans or credit cards without discussing it with us
DON’T pay off judgments without discussing it with us
DON’T pay off collections without discussing it with us
DON’T buy any furniture/appliances with a payment plan
DON’T change bank accounts
DON’T take out a new loan
DON’T start any home improvement projects
DON’T finance any elective medical procedure
DON’T open a new cellular phone account
DON’T join a new fitness club

If you encounter a situation where you want to do something found within the “DON’T” category, please make sure to call us immediately so we can discuss the situation and determine how it will impact your financing.

***We will be monitoring your credit report until the day AFTER closing, so follow the guidelines above, starting right now and until we actually close your loan.***

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