Common Questions About Credit & Loans
What is a credit bureau score and how do lenders use them?
A credit bureau score is a number, based upon your credit
history that represents the possibility that you will be unable to
repay a loan. Lenders use it to determine your ability to qualify
for a mortgage loan. In some cases your actual "score" is not
considered, rather your overall credit history is taken into
How can I improve my credit score?
There are no easy ways to improve your credit score, but you can
work to keep it acceptable by maintaining a good credit history.
This means paying your bills on time and not overextending yourself
by buying more than you can afford.
Are there any costs or fees associated with the loan
Yes. There are fees such as an origination, appraisal, document
preparation, credit report, processing, homeowner's insurance and
down payment. You will be given a Good Faith Estimate and
Disclosure statements that will elaborate on these fees.
What responsibilities do I have during the lending
To ensure you will not fall victim to loan fraud, be sure to
follow all these steps as you apply for a loan:
- Be sure to read and understand everything before you sign.
- Refuse to sign any blank documents.
- Do not buy property for someone else.
- Do not overstate your income.
- Do not overstate how long you have been employed.
- Do not overstate your assets.
- Accurately report your debts.
- Do not change your income tax returns for any reason.
- Tell the whole truth about gift funds.
- Do not list fake co-borrowers on your loan application.
- Be truthful about your credit problems, past and present.
- Be honest about your intention to occupy the house.
- Do not provide false supporting documents.