If you are applying for a mortgage and have a less than spectacular credit score, there may be a solution. The process is called Rapid Rescoring, a service that mortgage lenders offer which quickly corrects borrowers’ inaccurate credit bureau information – old balances, incorrectly reported delinquencies, collections placed in error, etc – and when completed, recalculates the credit scores to help increase them.
If you have a credit card that you paid off in full or any other error that is negatively affecting your score, you can turn to your loan officer for help with rapid rescoring. This process can correct your report in as low as 2 to 3 business days. After you supply the appropriate documentation to your loan officer, they can then use their mortgage credit report vendor to rescore and remove errors from your report. The vendor verifies your info and documents with any creditors involved in the transaction and updates and reports the correct information directly to the three major bureaus: Experian, Transunion, and Equifax.
Improvements in scores vary from situation to situation, but it is possible for your score to increase 20 to 50 points, based on our historical experiences.
Rapid rescoring takes a much shorter time than turning to the creditors and bureaus yourself (and a lot less painful). Since most clients want their mortgage transaction done as soon as possible, this would be the best option.
If the negative info on your report is correct, rapid rescoring is not the option for you. Vendors can only remove information that is falsely appearing on your credit report. That also goes for borrowers with multiple errors in all three major credit bureaus.
Rapid rescoring works incredibly well, especially when a borrower may benefit from a small boost to their FICO scores in order to qualify for a mortgage or to help procure better mortgage loan terms, such as a lower interest rate.
For more information, feel free to reach out to a Loan Officer at Bluefire Mortgage Group today at (760) 930-0569.