When you refinance your home, the mortgage companies check your credit score….?
My husband and I would like to refinance our home. We’d like to shop around for the best mortgage. The problem is…when you shop around…the different lenders will check your credit score. We were told that your credit score goes down after each check. Can anyone with experience in lending tell us the best way to shop around without getting “dinged” every time we look into refinancing our home?
You will not get “dinged” everytime your credit report is run. The scoring systems allow for this rate shopping and it will treat all inquiries within a given amount of time as one. So if you are going to do this make sure you do this in a short period of time. You will see every inquiry that was made, but in the scoring it sees only 1, depending on your credit it should make minimal to no impact on your score.
If you are truly worried about it go to http://www.myfico.com and get your credit score based on each of the 3 reports doing it yourself will not effect your score at all. The FICO Score is what most lenders will use and you can check with each lender if they will accept your report for at least a pre-approval. Some will and some companies wont accept a copy of your report. Even the ones that do will probably still run it again before final approval but by then you should know who you are going to go with.
Does a mortgage checking account really work? Has anyone heard of Sydney Financial Group?
A company called Sydney Financial Group has shown me that I can pay off my $110,000 mortgage in less than 6 years. They do this with a “Mortgage Checking Account” that is kind of like a home equity loan. This really sounds too good to be true. Any insight?
With a normal mortgage, when you get paid, your paycheck goes into a checking/savings account and you pay your mortgage and other bills from these account. The mortgage is a fixed amount payment. If you want to pay off your home earlier, you can add more money to your monthly mortgage payment. The drawback of this is that if you need some extra money, it’s locked away in the home equity which you can’t get to
A mortgage checking account is basically a home equity loan and the way the system works is that your paycheck is deposited into your mortgage and you spend normally using checks, ATM card, credit card etc. Drawn on the mortgage account. This way, the average monthly balance of your mortgage is lower thus generating less interest charges. If you need extra money for a vacation it can. One of the benefits is that a separate savings account may only give you 1 or 2% interest (if you’re lucky). With a mortgage checking account, the effective interest rate of savings is the interest rate of your mortage.
The system works well if you aren’t the type that lives paycheck to paycheck, spending everything you make. My understanding is that roughly 40% of the mortgages in Australia are of this type. Here in the U.S., the system is almost unknown.
How can I check to see if my mortgage interest was properly deducted on my return last year?
Last year I moved and I’m paying an interest only mortgage. It was my understanding that I would receive more money on my return. I actually ended up receiving less than previous years. This year I did a preview with Turbotax and it shows that I’m getting back a substantial amount more. How can I check last years return to see if the mortgage interest was properly calculated on last year’s return?
Look at last year’s tax return, Schedule A. Check out the amounts. Financially, not a good decision to have an interest only mortgage, particularly in this housing market. Make some principal payments.
How do you check to see if your mortgage company paid your property taxes each year?
My mortgage company failed to pay my taxes for two years. Now I am paying for it! I was advised to check each year to see if they were paying it. How do you do that? Besides waiting for a letter saying there’s a tax lien on your house!
Usually the Tax Assessors Office sends a letter every six months in which it shows how much was paid in tax by the mortgage company, if the taxes are included in your mortgage. But if you haven’t received anything in the mail give them a call and fin out!
what percentage of my check can go towards a mortgage with a 569 credit score?
I have a job working for the railroad my average yearly income is 40k. I was wondering what would a mortgage company allow my payments to be at. Essentially what percentage of each check would be allowable for payment towards mortgage.
Sad to say but, given current market conditions, you’re highly unlikely to get any mortgage at all with that rating.
Powered by Yahoo! Answers