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Goodmorning all,


   I recently applied to get my house refinanced, could I apply for a credit line increase as well without it affecting my credit ? I keep hearing different things.

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You DO NOT want additional hard pulls while you are in a mortgage process.  Some lenders will consider a line increase without a hard pull.  If you have a lender that will do a CLI without a hard pull, then go for it...

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Posted (edited)

Generally any new inquiries will require a letter of explanation.


If the new inquiry is discovered/revealed too late in the process and without warning to the mortgage company while your file is in underwriting, it can cause an unwanted delay (which is potentially a lot more catastrophic on a purchase because the closing date is contractually set, but on a refi a delay could still put your rate lock in jeopardy).


The  main thing the mortgage underwriter is concerned with isn't the inquiry itself (or even the microscopic score drop that may or may not result), but that you may be taking on additional debt that wasn't factored into your DTI when your loan was approved/priced/etc.


If this CLI is important to you, consult with your loan officer in advance and make sure the underwriter is expecting it and approves it in advance to minimize any disruptions.




Edited by cv91915
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