transferr to LLc - Posted by Jay

import · September 30, 2003, 4:39pm

Posted by Wayne-NC on October 01, 2003 at 19:37:38:

It is still not bad credit. It is too much good credit which has a greater potental to become bad credit, unless ofcouse it is not paid on time now.

import · September 30, 2003, 4:39pm

Posted by Jay on September 30, 2003 at 16:39:59:

Hi all
here is the question. I have a partner with money on one deal. since I have bad credit, he is taking title.
now in case he wants to Back out, I will have a LLc formed with the 2 of us as members. now after closing we transfer the title of the property into the llc. so when he wants out, the llc will refinance and me as the single member of the llc will guarantee the loan and, i wont have to come up with a large down payment.
is something wrong with the idea The I miss?
or do you have another idea? please reply
Thank you

import · October 3, 2003, 1:36am

Re: transferr to LLc - Posted by Brenda Whittaker

Posted by Brenda Whittaker on October 03, 2003 at 01:36:07:

Are you just assuming you have bad credit? Find out what your actual score is, because if the only problem is too much open credit, that shouldn’t effect it to the extent you couldn’t get any financing.

import · September 30, 2003, 5:03pm

Re: transferr to LLc - Posted by Randy

Posted by Randy on September 30, 2003 at 17:03:50:

The LLC can not get a mortgage. Only living breathing people get mortgages, so you will have to re-finance it in your name and your credit. If you can?t do that now you probably won?t be able to do it then. You might consider being a co-borrower on the loan, you will gain his credit (some of it anyway) then if he wants out just file a quit claim deed, he will still be on the mortgage until you refi but if you keep your nose clean you can benefit from the partnership in more way?s than you know right now?.

import · September 30, 2003, 5:12pm

Thanks randy - Posted by Jay

Posted by Jay on September 30, 2003 at 17:12:01:

Thanks randy, however now I have bad credit cause I drawn the equity line of credit and paid only minimum payments. but I am in the process of selling that property, so by then I might have good credit. or I add my wife as another member in the LLc.
and it goes on her credit
How about that?
Jay

import · October 1, 2003, 6:27pm

Bad Credit? - Posted by Wayne-NC

Posted by Wayne-NC on October 01, 2003 at 18:27:52:

Why would you have bad credit just for making minimum payments on a loan? That will establish good credit, unless ofcourse the payments were made late. In that case, shame on you.

import · September 30, 2003, 5:25pm

Re: Thanks randy - Posted by Randy

Posted by Randy on September 30, 2003 at 17:25:35:

Any of the above is fine, just the refi can’t be done in the LLC without a person signing and pledging their credit.

import · October 1, 2003, 7:13pm

Re: Bad Credit? - Posted by Jay

Posted by Jay on October 01, 2003 at 19:13:06:

for haveing to many open revolving lines of credit