Buying A House With Credit Card Debt

im about 25k in credit card debt from school and a bunch of family and personal things and there are about a thousand commercials or websites claiming to get you out of debt but i have a pretty good idea they will all ruin my credit and any chance i have at buying a house in the future. if anyone has a suggestion or a tip for what they have done in the past that will hurt my credit score the least i will be grateful. thanks

Pay more than your monthly payment...as much as you can and still be able to live reasonably. If you only pay off your monthly balance you will never get it paid off. Pay of the highest interest cards first then move on to the others. Cut up all of your credit cards and don't get any new ones. This is what I have done and it is extremely hard but it works. Why pay someone else to tell you to put together a plan like this. There is no quick fix to getting out of credit card debt, only hard work.

2010-01-15 21:08:46 by Kyle

Buying a house after bankrupcy propsal settlement credit counseling Canada. Mortgage Canada

we would like to look at purchasing a foreclosure home, but we have lots of student loans and some credit card debt.

my husband and I plan to. I think most people nowadays have debt

2009-01-12 20:15:49 by mcnld2002

Price: $29.99

Consider this:
1. I have $30k in credit card debt.
2. I have a 1st mortgage for $200k (4%) and a Home Equity line of $170k (at prime rate) with no additional credit available.
3. I am buying another house at the end of April.

Would I be better off refinancing my Home Equity and Credit Cards into a new Home Equity loan, or just stick with it as is?

I have heard that I may be able to get better rates on my loan for my new house if I refinance. Could this be true?

Thoughts? Opinions? Alternatives?

You don't mention how much equity you have left in the home, but lets assume you have some equity. You would not want to "max out" your equity. Save at least 5-10% since you are going to be buying another home soon. Now if you have equity left to refinance your equity loan & pay down some credit cards, by all means do so. To best improve your credit score, pay off what you can, but at least reduce each credit card so that you have some available credit if any are at or near their limits. These are important factors in credit scoring and will get you a better rate on your new home. Its best not to close the cards that you pay off. Having that available credit will help your score. Close the cards after you secure your new home loan. Good luck!

2005-12-14 11:03:49 by Sean J

I'm a stay-at-home mom with a large credit card balance. I have no outside income. My husband may be taking a new job which will require us to move. My credit card debt is in my name only, and my husband does not know of it. I was wondering if at any point in buying our new house if my own personal credit card debt would even come up, since only his income is an issue.

If you name is on the title, the mortgage company will probably pull a credit report on you too, since they would technically be lending to both of you.

2007-06-20 22:12:30 by Lissa

My wife and I have about $15,000 in credit card debt.

We are wanting to buy a house that is about 25% monthly of our gross income, so we feel we can afford it.

However, with our credit card debt, we are paying about $350/month which pushes us into a tighter situation.

I feel that it will take us years to try to pay off this debt. I don't want to rent for years.

So I am in situation. Buy and hope we make it. Or rent for the rest of my natural born life.

If we buy a house, and for some reason had to declare bankruptcy 4 or 5 years in, could we keep the house do you think?
I think you are out of touch with what it is like to be a young family in America. We are ALL in debt. And yes, I just got approved for a loan yesterday.

The foreclosure hasn't been caused by credit card debt, it has been caused by people buying houses with 50% of their income.
Good luck on the building of your house.


Wait till the kids come, then you'll see what I'm talking about.

Do you have any reason to expect that you'll qualify for a mortgage, if you decide to buy? In particular, how much have you saved up for a down payment? Zero down payment loans are pretty much a thing of the past, so you had better bring a substantial amount of money to the closing. But I question just how much cash you have available. After all, if you are up to your ears in credit card debt, there's usually not much left over from your monthly income to save.

So I would have to say that you strike me as not quite ready to buy a house. People that are ready to buy shouldn't have to worry about possible bankruptcy in the next 4-5 years. The banks also see your shaky finances and are reluctant to loan money to poor credit risks, especially in today's climate.

Pay down your debt and save for a down payment. Then you'll be ready to buy.

2008-07-29 05:40:04 by Matthew R