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2 Bumps

Need to get my credit good soon!! adult content

I have maybe 3000 in debt that has been in collections for a couple years, and i have a care reposession that I actually got back. I just graduated from nursing school and have about 60k in student loans. My boyfriends credit is decent and we would like to buy a house in the next year or so. What are some good ways to build my credit fast and get approved for a loan. Or does anyone have suggestions for me. THis would be my first home. my boyfriend has like 30k in credit card debt and he has our van and house mortgage in his name.

Answer Question
 
Cherish050307

Asked by Cherish050307 at 7:29 PM on Sep. 5, 2010 in Money & Work

Level 6 (143 Credits)
Answers (14)
  • maybe get a small loan to pay your debt off.... that way your only paying 1 bill and not x bills for the 3000..... that would show payment of those debts and keep making sure you keep up on the loan payments
    pinkdena

    Answer by pinkdena at 7:31 PM on Sep. 5, 2010

  • I have been through this so I'll just shoot:
    There is no quick easy ways to fix your credit score. PAY IT BACK....that's all you can do. I hired someone who made a lot of promises. He ripped us off and our credit is still the same. We are just paying it all back.Take my advice, you took out the loans. Pay them back. It's the only way.

    HOW? We take one thing at a time and pay until it's gone, then start a new one.
    Musicmom80

    Answer by Musicmom80 at 7:32 PM on Sep. 5, 2010

  • My honest opinion is that you will not be able to buy a house in the next year. you should work on paying down your debt, make a plan, and then be able to buy a house in five.
    lovinangels

    Answer by lovinangels at 7:34 PM on Sep. 5, 2010

  • You need to work on paying off your credit. Make sure you pay on time each month and if you can pay more each month. But it could take more then a year to get that good credit.
    Raeann11

    Answer by Raeann11 at 7:36 PM on Sep. 5, 2010

  • Ok, for starters...get a copy of your credit report and credit score. The fact that you have $3000 in collection, a repo'd car, and 60 grand in students loans...is not a good thing. Your boyfriend has 30 grand in unsecured credit card debt. If you want to buy a house, in this day and age, you will need at minimum 10% down and a very high credit score. The score is based on many factors including your ability to pay off your debt, how long you've had debt, your available debt ratio... many factors. The fact that you got the car back doesn't take away the fact that it was repo'd in the first place. When you get your score, it will have tips on how to raise your score and improve your credit. I would suggest that when the time comes...don't just go look for houses, before you even look at your first house get pre-approved for your loan so you know exactly what is available to you.
    WoodWitch

    Answer by WoodWitch at 7:41 PM on Sep. 5, 2010

  • Having zero debt would help a lot, as well as having a savings to put down a payment on your home.
    musicmom08

    Answer by musicmom08 at 7:44 PM on Sep. 5, 2010

  • Pay it back or make payments. Plus raising your credit score can take up to 1 years+. B/c even if you pay them off...they still show negative on your credit score.
    Mom2Just1

    Answer by Mom2Just1 at 7:50 PM on Sep. 5, 2010

  • I would not buy a home until all of those bills are paid in full. If you do buy a house, well "Murphy" will move in the spare bedroom. Banks are really tight about guide lines of giving mortgages after the last go round. If you have things in collections, when you can scrape up enough money, say a third of what you owe, call the collections company and say you will pay X amount to settle the account in full. Make sure you have it in writing before you send them the money. This will help get that stuff moved down on the credit rating. Get some savings built up and cut up those credit cards. Use a debit card only. NEVER NEVER give someone you owe money to access to your checking account. They will clear you out in a heart beat. Get rid of the old debt before you try and pile more on with a home mortgage.

    Joeygoat

    Answer by Joeygoat at 8:25 PM on Sep. 5, 2010

  • You can't buy a house with that much existing debt. Pay off your debt and save at least 20% for a down payment.
    rkoloms

    Answer by rkoloms at 9:03 PM on Sep. 5, 2010

  • Depending on your income the debt you have may be just fine. the guidelines are usually 31% for your housing debt (this is based on gross income) and your total debt can't exceed 41% including the new house payment, taxes, insurance and MI. You can purchase a home with a min. credit score of 620 and as little as 3.5% down on an FHA loan. You do need to take care of that collection. You may not be able to do this is a year because as soon as you pay off that old debt it will be brought to a current date and even though you paid it it will affect your credit score badly for a while. If you have the car back I am assuming that you have been paying it on time since then. Begin paying everything on time and over time your score will come back up.
    Kari126

    Answer by Kari126 at 10:31 PM on Sep. 5, 2010

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