sh9730

Yes, always have to sign the 4506T form - BUT - if you are ONLY using W-2 Income - often they just "verify" those W-2 filings WITHOUT actually pulling your full tax transcripts (i.e., how much you paid in taxes etc.) If you are 1099 for over 25 percent of income - then the lender MUST pull those full transcripts to verify Adjusted Gross Income etc. MY question that I cannot seem to find an answer to is whether if you have SOME 1099 income - but NOT 25 percent - is the full transcript pulled - or do they just verify the W-2 and 1099 FILINGS. Again my reasoning for asking is whether my DTI will REQUIRE the 500 per month IRS payment - which does not show up on CR. And of course the same type of questions for my wife's disability income.

Hello, been a while since I have posted on CB! Quick overview - looking to sell my current home and downsize and consolidate a little bit. Mortgage Scores 700+ and likely 725 middle for both borrowers (Non Mortgage scores 750+) I am trying to figure out our budget based on DTI and have a couple of questions that will help. Thanks in Advance. 1. I am currently in a repayment plan with IRS - 500 per month - current. 2. My MAIN income is W-2 but I also have a 1099 side gig that generates about 15% of my income (but far less than 25% I read about a lot) 3. My wife is on long term disability we are hoping to include her income in DTI calculations My questions are: IF to get to the budget we need I have to use my 1099 income - will that trigger a full transcript pull? This is important obviously because we will need to include the 500 per month IRS payment in my DTI. That may or may not be a big deal since the extra income will be allowed then - but just doing some figuring. THEN, will my wife's disability require a full transcript pull? We have never used her before because she had no credit - we have worked on that the last few years and would like to include her this time - plus then we can use her income. She has no tax issues, but if they pull hers because of the disability income will they then need to pull mine also? Finally, what are the conventional back end DTI maximums (front end will be no issue)? I know FHA (which I have always done in past) - will let you go crazy high with good scores - but not sure about conventional - I read 45% but did not know how hard and fast that is.....like I say - FHA can go to 55% sometimes! My preference would be to put 20 percent down and then avoid a full transcript - but not sure if by using these other income sources it will require one - and then I need to factor in that payment in the DTI. Again, thanks in advance!

Hello, Been awhile since I ve been here - but always nice to know it is an available resource! Had some health issues last year and my debt is ALMOST to an unmanageable state. Looking to see if a home equity or cash out refi is doable. Main issue is high DTI right now, some 1099 income, and recent employment change. Details: Home Value - $185,000 (I think this is pretty accurate - it may be a little higher but I am playing it conservative State - AZ Mortgage Balance - $127,000 FHA - BUT included in 2011 BK - not reaffirmed but continued to pay on the loan mod I had at time. Current for last 8 years. FICO - 640 or so DTI - 50% (However a primary reason for the question is to pay some of this off and I am willing to do so as part of the loan approval process Income - 45K on W2, but very recent employment change to this status (3 months) - last several years was on 1099 only with 70K gross - and 45K AGI . Still have 20K or so 1099 income this year gross - probably 10K after deductions. As mentioned above - BK was in 2011 - another hiccup in credit about 6 years ago, but not too major, and high utilization right now - but again - consolidation is the purpose of the loan. Suggestions? So have OK income, and some equity but other issues. I am willing to pay a little higher rate or go shorter term if needed. Thank you in advance.

Well - not exactly sure how you are coming up with 10% savings - you may be talking long term overall savings. But you have to factor in tax write off and cap cost etc in that - PLUS, remember that under the new FHA rules the MIP is much stricter now so that would all start over for me again.....my loan balance is only 130K so the actual dollars aren't that great..... But my guess is Chase may be trying to in essence get the BK folks to "re-affirm" as it were by refinancing into a new loan.

Hello, Been a while since on this forum. But curious as to whether any of the Mortgage experts are seeing anything similar. I BKed in 2011, I did NOT reaffirm the mortgage but continue to pay and shortly after the BK did a loan mod. Been paying on time ever since. 4.5% FHA through Chase - Chase has always serviced my loan and kept it even after the mod and still is holding it today. One of the benefits I have now that all the wreckage of the past is clear is that IF another RE crisis were to occur and somehow got upside down again (unlikely since I have about 30% equity now that the market has come back a bit - but it COULD happen) is that since I could walk away without additional credit damage. Yes, I know I would still face a foreclosure etc. - but at least the late payments that would trail that event etc. would not show on my CR. OR - if somehow I did get into a short term jam - the same applies - my late payments would not show on my CR. These benefits have kept me from refinancing, even though my credit has recovered enough to do so - but for the maximum 1% rate difference that I saw at the lowest point - it was not worth it to me. NOW however, Chase is calling me almost daily, emailing me, FEDEX overnighting me - with offers to streamline refinance. Today's rates are 4.1% - so given I never did it before - I sure don't have a lot of reason to do it now! Even with no closing costs etc. that they are offering. ANYWAY, now that the background is posted - I am wondering whether they are on a kick to get others like me to do the same - in order to get them back on the hook so to speak. OR, is it more likely just that they are back into a big marketing push to everyone - not just prior BK people. Thoughts?

Thanks - it isn't urgent - just would be nice to do while rates are about the same where I am at. I ll just wait and see where things are in a couple of years if I still need it.

Another source came out with same answer - that I am limited to 80% - but must I stay FHA? Or can I refi to conventional with a higher DTI? Not worried about the rate - should have mentioned that BTW - I am at 4.5% on the FHA now. Thank you for the response!

Hi, Looking for some of the MB input on whether worth my time to check into a cash out refi? State - AZ Current Balance - 132K Probable Appraised Value - 170K (Maybe higher but I follow things pretty closely and this is safe) Current Loan - FHA - BUT dismissed in my BK that discharged in 2011 - did NOT sign a re-affirm on the mortgage - just continued to pay the mortgage and all was good. I understand that a re-fi will put me back at risk if foreclosed upon. Current Income - Self Employed (I do have 2 years of returns) - AGI 55K (70K before expenses) Credit Score - 650 - this is pretty accurate based on recent car loan - 1 collection from 2012 still on CR DTI - 40% not including mortgage - 60% with mortgage - again, will be consolidating as part of this so would be reduced. Thoughts? Worth doing? I would like to consolidate and need about 25K to get that done properly. Thanks in advance.

Nope - mine is a "security deposit" - I got a 300 CL on a secured deposit of 95.00 -. No "set up" fee on this card and a 75.00 annual fee but no monthly fees for the 1st year. SO, that 95.00 is still mine one way or the another, although I cant find details of how its refunded in my agreement. Actually had I desired I could have been secured for up to 5K on this card according to the agreement... I ll call and find out, but they arent open on weekends so thought someone here might have had experience.... Thanks for responding though!

So, Im rebuiling after BK and though I knew all the negatives I started with a Firt Premier MC - it did the job and I know have several other better cards. Im about to come up on the annual fee time for the card and Im going to cancel it before that time..... My question is - I do have a balance on the card right now - (under 100.00 for my last gasoline purchase)- but I also have my 95.00 deposit with them. Can I cancel and have them apply the refund to the balance? Or do I have to pay the balance and then wait for my refund check? I d prefer to have them just apply the deposit funds so then I dont have to wait for the cash - but its not the end of the world either way.... I did search for this answer but no luck. TIA for any info.

RSL, Thanks for the response - I tried to post a bit ago, but as BREEZE says, the site is a bit up and down today and it didnt post.. ANYWAY, interesting, as for ME, CREDIT ONE has been the better card than FP (accepting the premise that both are bad). Credit One has given me two no cost CLIs in the 8 months I have had the card, and did not require a deposit. FP DID require a deposit and has not offered me any CLI, and I wont waste an INQ or pay for a CLI. Hence the reason I was thinking about keeping the Credit One card instead of the FP. SO, still dont know what to do....I hate to waste 60.00 to FP (as they will start charging me the 5.00 monthly charge before too long), just to have another year of age...but then again it may be worth it in the long run at this point....utilization is not an issue as I have no balances on any cards..... Any other input from anyone?

SO,I originally posted this in the BK sub forum but think my current question may get more input here in the general credit section. Yesterday, since I hadnt applied with Cap One in a few months, and seeing another poster's success, and a 60 day late I had showing on my CR (legally since I reaffirmed that auto loan in my bk) was now over a year old, and I ve had 6 months of credit with FP and Credit One, I tried again. APPROVED! - 1000.00 CL with 19.00 a year fee. NOW, my question is, I have both 1st Premiere and Credit One cards (I know - crap crap crap - but I wasnt getting any other Visa/MC offers and didnt want to go the secured route). I ve had both cards for under a year and have no balances on either one....so far I havent been charged any monthly fees..on either card. So, now that Ive been approved by Cap One, should I cancel the FP card once I receive the Cap One card? Or will cancelling it so soon do more harm than good as far as my aging goes? I do have several other non-visa/mc cards (fingerhut, firestone, eddie bauer etc), all less than a year old....all with no balances. I think I will keep the Credit One card as it has a higher limit and I dont want to cancel both at same time for sure... Any input appreciated...thanks.

Yeah, Im pretty confident Cap One will approve me eventually....I was just really trying to avoid the First Premier world if at all possible (without going secured), so I tried both the Orchard and Cap One preselectors.....(Of course I had a couple of HSBC IIB also so was denied by them also). But Im glad at least one of the denials didnt cost me an inquiry! I ll give them a try in 6 months or so maybe after the FP reports for awhile and my reaffirmed auto loan reports for a few months also....bring the score up a bit.

SO, Im recently discharged BK....tried for anything from Cap One on the preselect....applied for suggested card...DENIED! Wasnt REALLLYY expecting approval so soon (discharge was 8/11), and I IIBed 2 Cap One cards and an auto loan... But, the main reason Im posting is that I got the denial letter in the mail today, and it said "decision was based upon internal information only - no credit bureau was checked - therefore no change to your credit score will occur". Thought that was nice?

Thanks Heg. Yea, my initial inclination was to just leave it.....but it is wierd. Its almost like they stopped reporting BEFORE I even filed since as I said the last "reported date" on both reports (Prosper only reports to two I guess) was 1/2011 and I didnt even file until 4/2011. But I ll just leave it. And yes, these were the complete paper (well .pdf) reports via the annualcreditreport site. I had not receieved my free ones this year yet, so for now I went that route, since as you say...things could get screwy for awhile post discharge. But actually overall things look good.....none of my pre-BK positive accounts were lost, and everything that was IIB is showing that way...except this one...which appears to actually be BETTER....so I ll leave it. If it changes later, so be it...then I ll just make sure it goes to IIB status. Just needed a little outside view that I should just leave well enough alone. Now Im gonna give things a little time...and then start rebuilding. Dont need credit for anything for awhile (reaffirmed my car so wont need to buy one anytime soon) so I ll let a little time pass to see if I get any score bump before I apply. Thanks again.