Credit Guidance
We’ve all been there. Life happens, and you miss a few credit payments. Or maybe the worst-case scenario happens; you lose your job and have to declare bankruptcy. When it comes to keeping your credit score in the green, you can only prepare so much. So, how does a low credit score affect your chances of getting a loan?

THE MYTH

Some people might assume that they won’t qualify for a home loan if they don’t have an outstanding score. Although your score is a factor in the approval process, there are loan options specifically for homebuyers with a lower credit score. The government-insured Federal Housing Administration (FHA) loan was created specifically for someone looking for more financial flexibility from their loan. This loan offers a low down payment and flexible income, debt, and credit requirements. Some applicants could even fall under the requirements for a VA or a USDA loan, which also allow lower scores than other conventional home loans.

THE TRUTH

The truth is this, you might have more loan options than you think. Each person’s financial situation is different, so it’s important to speak with a Mortgage Advisor about your specific needs. However, The Polder Group at Summit Funding has multiple resources that can help get you started on your journey toward homeownership. The greatest resource is our in house Credit Repair Specialist. This resource is at no cost to our clients. Do you have more questions about how your credit impacts your loan? Contact Us Today and Let Start The Journey Together.

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