Examining Your Credit History

Your credit report and history are key to obtaining your home loan. I encourage you to view your credit report yourself, prior to the lender’s viewing of it, by contacting one or all three of the major credit reporting companies: Equifax, Experian, and TransUnion. All you have to do is call and request it. Once you receive it, check the "high credit limit," "total loan," and "past due" columns. It is a good idea to get copies from all three companies to assure there are no mistakes since any of the three could be providing a report to your lender.

Credit reporting companies:

You are also entitled to a FREE credit report, once every 12 months, from each of the nationwide consumer credit reporting companies: Equifax, Experian and TransUnion.

To obtain your annual free credit report go to the official site below.

https://www.annualcreditreport.com/cra/index

What if I find a mistake in my credit history?
You can correct simple mistakes by writing to the reporting company, pointing out the error, and providing proof of the mistake. You can also request to have your own comments added to explain problems. For example, if you made a payment late due to illness, explain that for the record. Lenders usually understand about legitimate problems.

What about my overall (or FICO) score? What does it mean?
Prior to the late 1990s, credit scoring had little to do with mortgage lending. When reviewing your credit worthiness, an underwriter would make a subjective decision based on past payment history. Then things changed.

Lenders studied the relationship between credit scores and mortgage delinquencies and found a definite relationship. Almost half of those borrowers with FICO scores below 550 became ninety days delinquent at least once during their mortgage. On the other hand, only two out of every 10,000 borrowers with FICO scores above eight hundred became delinquent.


About the agent
Debbie Marino, Broker, RealtorĀ®, GRI
BRE# 01840227
Contact info
Cell: (408) 210-2400
Fax: (408) 370-9633
1790 Winchester Blvd, Suite 3, Campbell, CA 95008