Free Annual Credit Report

 

The most frequently asked question when a buyer considers a home purchase is, “Where do I begin?” You begin by finding out your financial position and whether or not you meet the minimum lender credit requirements. Each lender varies in their lending terms, but most are similar in acceptable credit score range. Knowing your credit score gives you negotiating power with the lender that determines your interest rate and down payment amount.

 

Step 1 – Obtain a copy of your credit report and begin cleaning up any negative history. This includes paying off debts, removing old negative accounts, paying down credit cards, making payments on student loans or at least getting them in a deferment status. These days you do not have to pay for your credit report or provide a credit card that will be charged monthly while the site claims it's free if you cancel before 30 days.

 

There are three major Credit Bureaus that report history to the lenders. Lenders normally take the middle score of all three combined. Unfortunately, credit scores vary from Bureau to Bureau. This happens when creditors do not report to all three.

 

Get a free copy of your credit report every 12 months from each credit reporting company at Annual Credit Report. The Fair Credit Reporting Act (FCRA) requires each of the nationwide credit reporting companies — Equifax, Experian, and TransUnion — to provide you with a free copy of your credit report at your request, once every 12 months. These reports will not include credit scores. However, there is a small fee to obtain your credit score from all three Bureaus.

 

Now that you have the first tool at your fingertips to begin your home search, start today.

 

If you need any further assistance, please find me at www.tasheamcdougaldteam.com

 

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