Important  Information to Know
pre-qualification
A pre-qualification is normally issued by a loan officer, who, after interviewing you, determines the dollar value of a loan you can be
approved for. However, loan officers do not make the final approval, so a pre-qualification is not a commitment to lend. After the loan
officer determines that you pre-qualify, he/she then issues you a pre-qualification letter. This pre-qualification letter is used when you
are making an offer on a property. The pre-qualification letter indicates to the seller that you are pre-qualified to purchase their
house. Generally, sellers will not accept your offer unless you are pre-qualified.

Pre-approval

a step above pre-qualification.
Pre-approval involves verifying your credit, down payment, employment history, etc. Your loan application is submitted to an
underwriter and a decision is made regarding your loan application. If your loan is pre-approved, you are then issued a pre-approval
Letter. Getting your loan pre-approved allows you to close very quickly when you do find a house. A pre-approval can help you
negotiate a better price with the seller, since being pre-approved is like having cash in the bank to pay for the house!

What is a FICO score?  
A FICO score is a credit score developed by Fair Isaac & Co. Credit scoring is a method of determining the likelihood that credit users
will pay their bills timely.
How to Earn an 800 Credit Score
It might surprise you that some folks are reaching for an 850 credit score. It can be done. Try some of these five elements to improve
your score:

  • Payment history; pay on time as this accounts for 35% of the FICO score
  • Amount owed; keep balances low
  • New credit; avoid new credit cards for small gifts especially during holiday promotions
  • Amount of available credit; avoid maxing out your available credit limits
  • Types of credit used; avoid too many revolving credit cards.

Check your credit report and your credit score on a regular basis to see how you stack up in each of these categories.
Everyone is entitled to a free annual credit report from each of the three main credit bureaus. Request them online from:
www.
annualcreditreport.com
If you find any discrepancies or errors, report any dispute any errors directly to the report provider.

You may not achieve an 850 score, but following these guidelines can certainly give your current score a nice boost.

Credit scores analyze a borrower's credit history considering numerous factors such as:
  • Late payments
  • The amount of time credit has been established
  • The amount of credit used versus the amount of credit available
  • Length of time at present residence
  • Employment history
  • Negative credit information such as bankruptcies, charge-offs, collections, etc
  • Number of times credit history has been accessed; this is called a "credit Inquiries".

There are really three FICO scores computed by each of the three bureaus––Experian, Trans Union and Equifax. Most lenders use  
the middle score.

Who do I contact if there is an error on my credit report?
If you see an error on your report, report it to the credit bureau. The three major bureaus in the United States are:
  • EQUIFAX (1-800-685-1111),
  • TRANS UNION (-800-916-8800) and
  • EXPERIAN (1-888-397-3742)

They all have procedures for correcting information promptly.

Want to see you credit report for free. Cut & paste the following link into your web browser,
https://www.annualcreditreport.com
You will not get credit scores, but you can obtain 1 free credit report every year. You can view your credit profile and make any
necessary changes or disputes. This should be the first step you take to correct any problems you might have with your credit profile.

THERE ARE OTHER SITES that insinuate they are free, but they are not. Be very careful. Some will want you to sign up for other
products to get free credit report or free credit scores. AnnualCreditReport.com is the ONLY TRUE FREE report available.

If you have any questions or would like a free brochure, please contact us
610-767-2928
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Licensed by the PENNSYLVANIA Department of Banking
Registered by Nationwide Mortgage Licensing System
Licensed Mortgage Broker # 20402 N.M.L.S. Entity ID # 101916
Licensed Loan Originator # 30080 N.M.L.S. Entity ID # 135328