I just bought my first home. Does this help my credit score right away?

Question

My credit cards are maxxed and want a consolidating loan to pay all off any chance with starting score of 614 after buying a home. Just mailed first mortgage payment.

Answer 1

do not consolidate list all of your credit cards with highest interest first and go on down the line -- since you are able to pay all of your bills now keep doing it but put at least 10-15% extra toward the highest interest credit card -- mean while do not charge any more on the credit cards -- you no longer rent u are a owner and if something go wrong plumbing backup you call yourself not a land lord so you need to start saving in a rainy date fund == experts say that you need to have at put away at least 10% of your house payment for upkeep/repairs!!!

Answer 2

No. your home purchase will not show up on your credit report for as much as a couple of months. 614 isn't horrible, but you can do better and if you can consolidate these loans at a lower interest rate I would do so but not now. Make the ,inimum payment since you already bought the home and look for a consolidation loan once the home purchase appears on your credit report.

I would also start repairing your credit and checking your reports too. I had to repair and rebuild my credit after ID theft and bankruptcy, so this is an area I know about!

Look at my website and read it all, especially the "how credit scoring works" section too. You can dispute negatives in your credit report and you should do this if there are any.

Paying down your balances will up your score too and you will benefit most from having only 30% of your credit limit in use! Don't run your cards up again until you have paid off your balances, even with a consolidation loan!!!!

To keep your credit score going up, dont max out your cards at all! Read my website and this will get a lot clearer. There is too much to post here and my website will help you!

I've been there and I'm now a homeowner too!

Answer 3

No, it doesn't improve your score immediately. In fact, it may not even be on your credit report yet. Only after making your payments on time will it improve your score.

A score of 614 isn't horrible. It's not great, but not horrible. i would make the minumum payments on all the cards, except the one with the highest interest rate. Use all your money you can to pay that one off first, then close it. Then move on the subsequent cards.

If anything, the home actually changes your credit worthiness. You just increased your debt to income ratio significantly. A consolidation loan may help with a lower interest rate on your credit card debt, just make sure you don't get the loan, then continue to use the cards.

Keep a few open (like 2!!) to keep building your credit (longevity with a company is good). Use that card for small things, like gas. or just a cell phone bill and pay it off except for a few dollars every month.

Answer 4

Contact nearest commercial Banks and consult about the scope of getting finance by mortgaging the house property.There is scope of getting maximum loan of Rs 50 lakhs for urban home property.