(this quesion has been asked twice because i think i added it to the wrong area. sorry about that)
we are about to apply for an FHA loan as first time home buyers. Well, my husband is. he doesnt have the best credit, most of which is from 5-7 years ago. the rest of his credit is pretty recent (within the past year), but in good standing. HOWEVER, there is a sallie mae loan on his credit with a default and we are currently not paying on it. no judgments as far as i am aware. we are trying to work with sallie mae to get the situation handled but they are not cooperating with us, to make a long story short...
my question is, although FHA loans are made for people with shotty credit so to speak, should we be worried about being denied because of this sallie mae thing?
2007-12-17 16:01:36 · 3 answers · asked by Paige 2 in Business & Finance ➔ Renting & Real Estate
Continue to work something out with the Sallie Mae loan. Maybe you can set up some kind of low payment plan. Your husbands credit report will reflect a negative standing with the loan, but if he brings the lender something in writing from Sallie Mae (payment plan) then the lender will see that he is at least trying. Be prepared to give the lender an explanation on why the loan was in default?
2007-12-17 17:39:11 · answer #1 · answered by dota00 1 · 0⤊ 0⤋
The Sallie Mae issue may well come back to bite him in the backside. While FHA works with those with less than stellar credit, they're not bound to give away worthless loans. A Sallie Mae default and no payment ain't a good thing.
2007-12-18 00:10:49 · answer #2 · answered by acermill 7 · 0⤊ 0⤋
Put the thing in your name alone then add him after it closes.
2007-12-18 00:26:09 · answer #3 · answered by Big Deal Maker 7 · 0⤊ 0⤋