High Risk Line Of Credit

My problem is thatI share a mailing adress and the same name as my father. His credit is rock solid, but I am scared that having too many accounts on my credit report makes me look like a high risk. The accounts showing up on my report are credit cards with huge credit lines, but zero balances and he has had them for quite some time. From what I understand that makes me a credit risk if I factor in my couple of credit cards with much smaller balances.
I considr huge the 75k when I can only get about 8k.

Order a copy of your credit report from all three bureaus (if you have not already). Go over each report and find the accounts that are not yours. Make copies of those pages and highlight them. Send a letter to the credit bureau stating your problem: basically that you share a name and address with your father, but those accounts are his and not yours. Ask them to remove the accounts. Also remind them that they have 30 days to prove that the accounts are your or remove them. Also ask for an updated copy of your credit report so you'll know everything is settled - by law, they must give that to you.
Other than that, it's simple.
Good luck!

2007-09-11 12:13:14 by Frank R

loans hard money high risk home equity improvement mortgage homeowner house need instant interest rate lender lenders lending line of credit ...

Looking to buy a foreclosed home in North Carolina with enough equity to pull out to pay off a car and just have the home loan to pay...Can anyone show me the way.... My time line is to have this done by Nov. 07 Thank to all in advance

The only thing different from a VA loan and a regular Fannie Mae type loan is that the VA guarantees the loan so you won't need Mortgage Insurance. The thing is its still a loan and subject to the FNMA guidlines...ie credit, debt ratio and down payment. There is no such thing as a VA high Risk loan. If you have very poor credit you will not qualify for a VA loan period.

If your credit is the issue you will need to go Sub-prime for a couple of years until your credit recovers. You also get to have the high Sub-Prime interest rates. Once your credit recovers, you can refinance to a standard conforming (A-Paper) type loan with a lower interest rate.

Hers the other problem you have. If your credit is shot, no none, not even Sub-prime lenders, are gonna wanna give you a loan where your are going to strip out the equity in the home. Keep in mind when you start playing with the equity in your home you are screwin with the "Loan-to-Value" ratio of that property.

For example, you buy a home for $200K that is worth $250K. Regardless of what the home is worth at time of sale, the loan is based on Sell-price of the contract. If you dont have any money to put down you will be asking to finance 100% of the value..a VERY High risk loan for a sub-prime lender and not possible if your credit is not at-least 580 or better, and even then you are getting about 10-12% interest rate. Once you close on the home you can then re-finance the home based on the appraised value, $250K. NOW your equity is realized, BUT, if you start stripping it out, you are asking for a higher risk loan and now higher rates and payments. Not to mention this will require a refinance meaning paying closing costs all over again. The best loans occur when you finance no more than 80% of the value of the home. Put 20% down and borrow 80%. Gets you the best rates possible for your credit range.

The hard part you will run into is your credit holding you back. Not to mention I don't know what you make a year but the debt to income ratio is also an issue. Also, if you been keeping up with current events, the Sub-prime markets are hurting hard right now with alot of defaults, so I would expect it is getting harder to qualify with sub-prime.

2007-05-06 18:26:50 by t_vibes

My bank recommended that I use AnnualCreditReport.com to checkout my personal credit report.

I’m 22 years old; I don’t have a whole lot of my credit. However, my bank has approved me for a $5000 overdraft credit limit which I been making on time payments on. I got approved for this about a year ago. When I submitted the application I asked for $5K and the underwriters gave it to me - no questions asked. I must not have been a high risk for them, apparently.

My credit report has “1 potentially negative items”. The creditor is “CitiBank”. It’s an old credit card which has a $2000 balance. It’s my parents credit card account. They have me as an “authorized user”. However it is my balance and I’m taking care of it. I missed payments on it since April because I thought I was on auto pay. My goof up. The moment I got a collection call I brought the balance current. I could pay the full $2000 off but I choose to pay the minimum payment which is like $150. It’s more comfortable to pay the minimum. However, last year the balance on that card was like $10,000. I paid $7000 to Citibank in one shot. That’s how I managed to get it down to $2k.

ANYWAYS…….Then this morning I paid $7.95 to get my credit score and it gave me this message: “We’re sorry, we cannot generate your VantageScore because there are no credit accounts on file.”.

Also, on the free credit report that I got from www.annualcreditreport.com states that I have 0 accounts in good standing. The only two accounts THAT I think I have is the one from my bank with a $5000 credit line and my credit card account for $2000 balance. The $5000 from my bank I know is in good standing, but why doesn’t make credit report say it’s in good standing? When I talk to my bank, they told me I’m in good standing on that account. As for my Citibank account, I could understand why it’s potentially negative because I missed payments.

I want to get a credit score. What can I do to get a high credit score? I am making my month payments on the $2000. And I never missed one payment on the $5000 from my bank.

So my questions:

What can I do to get a high credit score?

Why does it say “We’re sorry, we cannot generate your VantageScore because there are no credit accounts on file”?

Authorized user accounts are suppose to count for spouses and children .. in FICO scores which is what creditors use. Authorized user accounts may not count in Vantage scores which is probably why you got that message.

Equifax uses FICO scores. You can also get FICO scores for TransUnion and Equifax thru MyFico.com. Consumers can no longer get FICO scores for Experian.

CreditKarma.com offers a free score estimator based on TransUnion credit reports. It's kinda like FICO, give or take 50 points or so. Good enough if you are just curious about your score.

2009-08-17 07:05:50 by gman

My credit score was in the "excellent" category the last time I checked it. I have a pretty decent credit history. No major loans or anything are on my credit report, but just major credit cards. I have 6 credit cards with a total combined credit limit of about $66k. The total charges on them are about $4k, and dropping rapidly because I'm paying them off as soon as possible.

I have some crazy high limits on some cards, but I'm quite confused. Some people say, "No one is going to approve a mortgage for you with that kind of credit line that you could potentially spend up!" Others say, "It looks good for you when they can look and see that other lenders have trusted you with such large amounts, and therefore will not consider you to be as much of a risk."

So which is it? I've considered dropping some of the credit limits to make it not look so "high" on each card, but then people say, "No, no, no, don't do that! It's credit suicide!"

So I see a lot of contradiction...does someone on here actually work in the business of approving mortgage loans, who could tell me for sure?
I've also had people tell me that they don't understand why I have such high credit limits. I don't particularly know, actually. That's what I was given when I signed up for the card and/or they upped the limits over the years as I used each card for various things and paid it off. I make less than $20k a year, but credit card companies ask for "annual household income" along with my sole income. My total household income is about $50k a year, so I guess that's what they based off of. They don't seem to have a problem with me having those limits available on their cards, and I didn't receive limit cuts when other people did left and right. I have an AmEx Clear card, for instance...it has a $25 credit limit. Kind of high, and I know I'll never use that much. But that's what they gave me. Should I drop them each down some, or no? Some say if I call and ask to drop it down, they may cancel the account for fear that I "can't pay." But there's nothing on most of them.
I'm also not planning on buying right now, obviously. I'm still starting out in life and don't have the income for such a thing. But I'm trying to get everything in order ahead of time.
Okay, so how much "drop" is needed, exactly?

Current credit limits are:

American Express Clear: $25k credit limit, zero balance. Opened about 3 years ago.
American Express Accelerated Rewards: $10k credit limit, zero balance. Opened about 1.5 years ago.
Chase Visa: $6k credit limit. $1,500 balance and dropping. Opened in 2008.
Discover More: $11k credit limit, zero balance. Opened in 2007.
Bank of America Platinum Plus Visa: $10k credit limit, zero balance. Opened in 2005.
Citi Platinum Select Mastercard: $4,200 credit limit.

What's the max "total available credit" that I should reasonably have? I'm not sure what to call and drop each limit to.

In order to get a mortgage, many lenders would require you to pay off and close your high end credit lines. I would get rid of them now...with ample time before you decide to buy.

2009-09-13 10:36:21 by gamerdude200808

I have no out standing bills
3 - R1's
1 - R9

Credit card - good (2)
R9 - account closed and paid

I am a server, my T4 reads under poverty level, most of my income are tips (unclaimed). My bank even turned me down with never having a problem within 5 years of my banking. I feel stuck in a jam!!

A high risk loan or line of credit is out of the question at a 30% interest rate its a little unnecessary
Anything short-term?

Im sure in a year I could change things without a dout. But I am in need of transportation and due to gas prices and low insurance for motorcycles. A car is not possible. :(

Am I truly stuck?

Credit can be a tough uphill battle. Here are some links to help you better your credit scores. You can do a lot on your own without filing bankruptcy.

http://www.ftc.gov/bcp/conline/pubs/aler ts/timebaralrt.pdf
Information on time barred debts.

http://www.ftc.gov/bcp/menus/consumer/cr edit/reports.shtm
Download a pdf file regarding how to dispute with CRA's

http://www.usdoj.gov/ust/eo/bapcpa/ccde/ cc_approved.htm
Govt approved credit counseling agencies.

http://www.ftc.gov/bcp/edu/pubs/consumer /credit/cre03.shtm#improve
Building a better credit report.

http://www.ftc.gov/gettingcredit/
What you need to know about your credit.

http://www.ftc.gov/bcp/conline/pubs/cred it/crdright.shtm
Credit and your consumer rights.

http://pueblo.gsa.gov/cic_text/money/cre ditscores/your.htm
All about FICO scoring.

The law requires that those turned down for credti must be notified in writing why the request was denied. This should help you figure out what the problem is.
If you havn't got a copy of your credit report, go to this web site to get one, there you will find what the problems are and how to increase your score.

https://www.annualcreditreport.com/cra/index.jsp

I invite you to join the following Yahoo group "DontGetRippedOff" dedicated to helping those in financial trouble, Here you will find information to help you with debt collection agencies.
http://finance.groups.yahoo.com/group/do ntgetrippedoff/

2008-03-02 11:53:31 by godsinside