Credit VA Loans Insider

  • How Compensating Factors Can Boost Your Chances of Securing a VA Home Loan

    How Compensating Factors Can Boost Your Chances of Securing a VA Home Loan

    VA lenders take a long, hard look at a prospective borrower’s credit, debt and income when evaluating a loan application. There isn’t a credit score requirement to participate in the VA loan program. But many lenders want to see a score of at least 620 in the current climate before moving forward. On top of that, prospective borrowers have to meet VA standards regarding their debt-to-income ratio and th…

  • What Happens When Your Spouse Has Bad Credit

    What Happens When Your Spouse Has Bad Credit

    Married couples often pursue a VA home loan together, with each obliged on the mortgage note. There are a host of reasons why, but one of the simplest is that a spouse may not have enough income to purchase the home of their dreams on his or her own. Adding in that second income of a spouse can sometimes do wonders for your purchasing power and debt-to-income ratio. While counting a spouse’s income is a…

  • Can I Have Bad Credit and Still Get a VA Home Loan?

    Can I Have Bad Credit and Still Get a VA Home Loan?

    This post was inspired by VA Loans Insider reader Mary Ann Parker, who asked about securing VA financing with less than perfect credit. In fact, one of the most common questions we receive is: Can I get a VA loan with bad credit? It is possible to get a VA loan with bad credit. For VA loans, borrowers often need a FICO score of at least 620, but the VA doesn’t mandate a minimum credit score requirement and some …

  • 5 Most Effective Habits of Homebuyers With Sky-High Credit Scores

    5 Most Effective Habits of Homebuyers With Sky-High Credit Scores

    Consumers don't build great credit scores overnight. It's something that takes time, smart financial decisions and maybe even a little luck. Perhaps surprisingly, it turns out a lot of Americans have managed to make the effort. As a whole, we've actually got pretty decent credit scores. Nearly a third of all consumers have a FICO score from 749-799, according to the credit scoring firm, which uses a scale from…

  • Cooking Up Your Credit Score: Here's What's Not in the Recipe

    Cooking Up Your Credit Score: Here’s What’s Not in the Recipe

    When we're talking about VA home loans and credit scores, it's usually a conversation focused on what kind of scores lenders are looking for and what veterans can do to get theirs in great shape. Or maybe we're looking more into the factors that make up your credit score, from amounts owed and payment history to the types of credit you use. But here's something that often gets glossed over, if it's even covere…

  • CFPB Taking a Closer Look at Credit Reporting Errors

    CFPB Taking a Closer Look at Credit Reporting Errors

    The nation's new consumer watchdog is aiming to make it easier for prospective homebuyers to address and eliminate errors on their credit reports. In a report released this week, the Consumer Financial Protection Bureau noted that the country's three major credit reporting bureaus -- Equifax, Experian and TransUnion -- have room for improvement when it comes to healping consumers clear up errors on their credi…

  • New Credit Scoring System May Make it Easier to Qualify for Mortgages

    New Credit Scoring System May Make it Easier to Qualify for Mortgages

    Military homebuyers may soon have an easier time meeting lender credit requirements thanks to a new credit scoring model that incorporates things like rent history, tax lien information and the use of short-term lending products such as payday loans. The new model is a joint effort from FICO, whose credit score dominates the mortgage lending industry, and CoreLogic, a consumer data firm that collects informati…

  • Shopping For Home Loan Rates and Terms Won't Kill Your Credit

    Shopping For Home Loan Rates and Terms Won’t Kill Your Credit

    Prospective homebuyers often get a crash course in credit scores, which reflect your willingness and ability to repay debt. One of the earliest lessons is that applying for multiple forms of credit can actually harm your score. That's one of the reasons credit experts warn consumers against trying to open five new credit cards to improve their score. Whenever a company -- be it a financial institution, a bank …

  • VA Loan Qualifications

    VA Loan Qualifications

    We've had a few questions and opportunities for clarification at the VA Loans Insider page on Facebook recently regarding VA home loan eligibility and the nature of the VA loan guaranty. It's a good idea to step back and offer a snapshot of VA loan qualifications and reiterate a mantra we've stressed several times: Being eligible for a VA loan does not guarantee you will get one. Explaining the Guaranty Fir…

  • VA Loans a Lifeline for Consumers Hit by Credit Crunch

    VA Loans a Lifeline for Consumers Hit by Credit Crunch

    Consumer credit scores have taken a beating in the last three years. Close to 21 million Americans saw their credit score plummet more than 50 points during the housing market and economic meltdown of 2008-09, according to FICO, which produces a key score for the lending industry. In all, about 50 million consumers lost more than 20 points from their score. Hits to your credit can make it secure a home loa…