Beware of the rules of Lending, 6 of 12 Maxing Out
DON’T MAX OUT OR OVERCHARGE CREDIT CARDS— One of the quickest ways to destroy your chances of getting your home loan is to go on a spending spree during the loan process. Remember we covered that this also includes just applying for new credit, another DON’T.
If you max out your credit cards, or even worse, go over the limit, it can instantly drop your credit score.
Try to keep your credit card balances BELOW 30% of the available credit limit. Your credit score will love you for it.
Does all of this sound foreign? Are you used to living on the edge of your credit? Have you always had dreams of home ownership but thought that your credit wasn’t good enough?
Please contact us at the Groves-Team and we can get you back on track to owning your own home!