When examining your file for loan approval, the majority of mortgage lenders and financial institutions will base their final decision solely on how well your credit score has fared. The mortgage lenders can easily access your credit score by entering your name, address and Social Security number into a computer system. Within minutes, a database analyzes your credit history and summarizes it into a number.
Mortgage brokers, car dealers and credit card companies rely on that number to determine whether or not you are credit worthy. Depending on what your credit score is, factors such as the interest rate and the down payment will be determined. The mortgage lenders and institutions use the score as a method to gauge your trustworthiness as an applicant.
Clients who missed on payments and accumulated debt will have a poor credit score, while those who always paid in a timely manner will have high scores. Clients with high credit scores are seen as low risk, while those with low credit scores are assumed to be more likely to default on payments.
First and Second Mortgage does not solely rely on credit scores when making our final decision, and take several other factors into consideration to come up with a balanced and fair decision. We refuse to allow a number determine whether a person will get a home mortgage, car loan or credit card.
Whether you are buying, renewing, or refinancing a mortgage contact us at 403-543-0927 or 18664051228 to se how we can help you.