Median Score of 580

[mlaustin1]

Is it possible to get a home loan with a median score of 580, with no new negative information reported for the last 5 months?

Thanks

[chane]

I highly doubt it.

[mlaustin1]

That stinks.

I have been working with a lady at Bank of America. She said she could get me financed with a median score of 580 as long as I had good rental history and no negatives in the last 6 months. I am working on month six right now, and was hopeful this wasnt just a dream.

She pulled my scores, which are different than what I get from Truecredit, experian, equifax and MyFico. She said I had one that was over 600. But I dont see that on anything I review.

[chane]

Requirements change all the time, but I can't imagine anyone being able to get a mortgage with a 580 median score unless it was some kind of special housing program, but if she said she could...

What I would do though, is raise my credit scores so not only do I get a loan...I get the absolute best interest rate possible and save myself over $100k over the lifetime of my 30 yr mortgage.

How many negatives do you have on your credit reports? Have you tried disputing any of them?

[mlaustin1]

I have been working on my credit for over a year now.

I disupted everything possible, and made payment arrangements for everything left. I have been making bi-weekly payments on all outstanding balances. The total balances owed now are no more than $2000. All of it was medical.

I have student loans, but those are all in deferrment, as I am still in school

I have two secured credit cards that I keep below 16% utilization, and I pay off the balance early every month, and do it before the card reports to the agency so that the balance is low. I have had one open 6 months, and the other 3 months.

I apply for nothing new at all.

I have one judgement from 2006 for $136, but that was paid before it went to court, however, it still ended up on my report. I have disupted it many times, and it still does not come off. Always comes back verified.

No new delinquent accounts.
My scores are 582, 585, 592. And a FICO of 544 (has not updated since I removed 5600 and two negative accounts last week..so hopefully it will improve).

I dont know what else to do, to raise the score.

[chane]

How are you disputing the accounts? online or letter? Are you disputing them with the CRAs?

What do you mean you are making payment arrangements for everything else? Pay for deletes? Paying off negative accounts makes them worse, unless you have negotiated for them to be deleted once they are paid. Otherwise you just keep making a negative account current, like it just happened. That could be destroying your scores.

[mlaustin1]

All of the medical bills, pay for deletion. And they have deleted everyone that has been paid in full. I made sure to include that in the terms.

There were two that I paid in full, and they agreed to remove it. Stated they would send me a letter AFTER the payment processed, and guess what...never sent the letter, and I have disputed it via fax to several of the CRA's and online, and it just keeps coming back. I even called Experian and spoke with someone, and they said it had been verified several times, and they could not do anything.

So yes, those two look like they are more current than they are. Which bites. But I had disupted and dusputed and nothing was happening. I thought paying it off would make it go away..NOT!

Still faxing in letters though to TU and EXP. Each time it comes back verified, I just change the date and refax. Hopefully, persistance will pay off.

[2muchdebt]

It's tough but not impossible, be careful about getting too many credit reports from lenders as that would adversely impact your score