Loan officers

Do's and Dont's

Items to Be Aware of During the Loan Process

  • Job Changes – Give us a call and let’s discuss your circumstances and how this may delay your loan closing.
  • Pay Structure Changes – Let us know if your pay is changing from salary to 1099 (contract employment) or any other pay structure changes.
  • Avoid Credit Checks – Unnecessary credit inquiries can lower your score.
  • Avoid New Credit Accounts – While we’re working on your loan, it’s definitely not a good idea to open up a new credit line, even if that additional 5% off all purchases may seem tempting =).
  • Avoid Large Purchases – Things like purchasing a car or boat can alter both your bank balances and your credit score. We advise holding off until after your loan closes =).
  • Marital Status – Is that changing soon? If so, let’s discuss how that may affect your loan.
  • Deposits – All funds are traced in mortgage transactions, so large cash deposits need to be sourced withsupporting documentation and letters of explanation, discuss with us any large deposits outside of normal pay.
  • Credit Disputes – Current guidelines allow for zero disputed items on your credit report. The time to resolve credit issues isn’t in the middle of your loan process. Ask us for a copy of your credit report if you have concerns. The goal isn’t to have perfect credit, it’s to get you your loan as quickly and smoothly as possible.
  • Spending on Credit – Keep your balances the same or lower on your cards. Try not to charge a lot during the loan process or right before applying for a loan. Keep in mind that a credit report that’s pulled today reflects balances from nearly a month ago.
  • Do Not Pay Down Credit – Unless you’ve already discussed it with us, avoid spending your down payment/closing costs funds. Paying down credit may not be needed. If you’re concerned, let’s create a plan of action for you.
  • Keep your Driver’s License Current – Your final loan documents will be notarized so a valid driver’s license is needed.
  • Pay all Payments on time – Paying the minimum payments on time and keeping your balances low will keep your credit score high. One recent late payment can kill your credit score.
  • Maintain Current Bank Balances – Try not to move money around if at all possible. This creates time delays and extra steps for your loan process.
  • Multiple Escrow Accounts- These must be fully disclosed. There are systems in place to check for multiple escrows.
  • Gift Funds – If there are any gift funds, these will need to be sourced with supporting documentation and a gift letter.