Free Credit Report Online >> Credit Repair

Your credit score / credit report is very important in obtaining a mortgage loan, or any type of loan for that matter.  The information in your credit report is gathered together and- in some mysterious way- something called a FICO score is determined.  Credit reports supposedly have scores that go from 400 to 900.

After being in the lending business for many years, and looking at thousands of credit reports, we can honestly say that we've never seen a score below 470, nor anything above an 810.  So let's just say the average credit scores are somewhere between 575 and 740.  If your credit report score is at least 640, you should be able to get an excellent mortgage.

Now, although the credit bureaus will not detail how, exactly, your FICO credit score is determined, we do know many of the things that will affect your credit report and we will happily share them with you right here:

1.  Debt-to-Credit Ratio (DTI):  This basically tells the bureau how much credit is available to you and how much you actually use.  For example, if you have 3 credit cards, each with a maximum credit limit of $5,000 and you owe $4,999 on each one of them - your debt-to-credit ratio is high and your credit report score is going to be very low.

2.  Too many credit cards:  Why would anyone need more then one...or maybe two?  Well, the credit bureaus want to know why.  Let's say you have ten credit cards, each with a $10,000 limit, but you only spend a couple of hundred dollars per month.  Good for you!  Your DTI (see above) is excellent.  Lot's of available credit and very little debt.  So why would this hurt your score?  Because you could lose your job, charge up $100,000 in debt, and file bankruptcy at any time.  Three credit cards is usually a good number...and never, ever use department store credit cards.

3.  Collections:  Yes, we know this one should be obvious, but it really isn't.  There are times you should pay collections and times that you should not.  Collections really only hurt your score for a few years, but they stay on your report for seven.  If a few years have passed and you haven't paid your collections yet- then don't bother.  If a collection is brand new, call the agency and ask them if they will remove it from your credit altogether if you pay it in full and immediately.  Get it in writing before you pay them anything.

4.  Late Payments:  A "30-day late" will hurt your score; a "60-day late" will really hurt and if you have "90-day lates," you are finished.  Before you start defaulting on all of your loans, call your lenders and speak to them.  Tell them your situation.  You would be surprised how helpful they will be- after all, their only other option is that you don't pay at all.

It is the policy of National Wholesale Mortgage to offer free credit repair services and free credit reports to our clients. Although there are many companies that charge up to $500 for the very same service, we offer credit report repair as a courtesy. We can truly help you repair your credit report and we will do it at no charge.  Send us an email at michael@azwm.com or give us a call at (877) 551-8188 anytime.