Posted by Scott_FL on July 30, 2003 at 22:40:03:
In florida at least, the “credit repair” programs are looked upon similar to a bankruptcy. They will impact your qualifying for “conventional A paper” financing.
If you can, just refi with cash out to consolidate.
Better off in future that way.
HTH
Scott
Debt consolidation? - Posted by Anders
Posted by Anders on July 28, 2003 at 23:47:04:
I am stuck with some large credit card debts from my divorce (about $20,000 worth), and was recently considering some of the debt consolidation programs to reduce my monthly payments and be able to afford higher monthly payments on a home. My question is: does this show negatively on my credit when applying for a mortgage? I was listening to the CS program and he mentioned it would not work against me when using his techniques for purchasing my first property. I have heard conflicting advice on this subject. Can anyone straighten me out on this? One thought I had was that if I can get started in REI, I could just pay it off altogether (my dream). Will it be harder for me to qualify with the high debt/income ratio, or with the consolidation on my credit record? I’m guessing this is a pretty common concern given the level of debt many Americans are in these days.
Anders
Re: Debt consolidation? - Posted by Bryant
Posted by Bryant on September 06, 2003 at 15:32:13:
I was going through the same thing last year that you are now. I went through a debt consolidation company and then I filed bankruptcy 3 months later because it was looked upon the same from all types of creditors. I was actually told by 2 credit card companies that I would save myself the money if I filed bankruptcy. When you go through one of these, your credit report shows up with CCC on it which is looked upon very bad in the lender’s eyes. It tells them that you have a problem with paying your bills. I wasn’t even able to rent an apartment when it was on my credit report. I would stay away from it.