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What is Credit Score?

What is Credit Score?Prior to determining on what conditions they'll extend you a loan, lenders will look at credit score to learn two things about you:

- your ability to repay the loan
- an your willingness to pay off the loan.

For your willingness to repay the loan, they check your credit score. For the first, they consider your income to debt obligation ratio.

The most widely applied credit scores are FICO scores, which were formulated by Fair Isaac. Your FICO score is between 350 (high risk) and 850 (low risk). 

Credit scores only look at the data carried in your credit profile. They do not count your income, savings, down payment amount, or demographic elements like sex, race, nationality or marital status. As a matter of fact, the reality they don't consider demographic factors is why they were made-up to begin with. Credit score was originated as a way to look at only what was applicable to individual willingness to pay back a loan.

Past delinquencies, uncomplimentary payment behavior, ongoing debt level, duration of history, types and number of inquiries are all looked at in credit score. Your score counts both positive and negative information in your report. Unpunctual payments will lower your score, but demonstrating or restoring a good track record of making payments prompt will bring up your score.

Various portions of your credit history are given dissimilar burdens:

35% of your FICO score is grounded on your particular payment history. 
30% is your current level of financial obligation. 
15% each is the time your open credit has been in use (10 year old accounts are good, 6 month old ones are not) and types of credit accessible to you (installment loans such as student loans, car loans, etc. vs. revolving and debit accounts like credit cards). 
10% is pursuit of new credit lines

Your report must contain at least 1 account which has been open for 6 months or more, and at least 1 account that has been updated in the recent 6 months for you to get a credit score.

This ascertains that there is sufficient data in your report to bring forth an precise score. If you do not fulfill the borderline standards for acquiring a score, you may need to build a history before applying for a mortgage loan.

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Specialties

  • Home Purchase and Refinance Loans
  • FHA, VA, USDA and Conventional Loans
  • Fixed and Adjustable Rate ARM
  • FHA 203k Rehab
  • First Time Home Buyer Loans
  • Reverse Mortgages
  • Home Affordable Refinance Programs (HARP)
  • Home Equity Loan
  • Bad Credit Programs
  • Construction & Renovation

Accreditation & Awards

  • A+ Rating with Beter Business Bureau (BBB)
  • Over 19 years of experience
  • Voted The Best Mortgage Company on Long Island
  • New York Association of Mortgage Brokers NYAMB
  • National Association of Mortgage Brokers NAMB