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Dos and Don'ts of the Mortgage Process

Man and woman smiling while holding keys to new home

You've applied for a mortgage through P1FCU; what should you do next? We usually tell our members these things, but now we're blogging it, and we want to see what you think!

First and one of the most important, don't apply for credit of any kind. Acquiring credit can damage your credit score, therefore increasing your interest rate.

Another thing that can harm your credit score is maxing out or closing a credit card. Having proof of managing credit effectively can increase your probability of getting the lowest interest rate.
One of the things we verify when offering a mortgage loan is your employment. It is crucial to your loan status to maintain your current job through the application and closing process.

It can also be harmful to pay off collections, judgments, or tax liens reported in the last year, along with consolidation. Paying off debt and consolidation is an excellent thing for your financial wellness, but doing this can hinder it substantially.

When purchasing a new home, you may feel the need to buy extravagant things to fill it or a new truck for the driveway. Steer clear from this; it can be detrimental to the mortgage process and your savings account.

It may be tempting to deposit large sums into your bank account to cover costs, but please think twice before doing it. Drastic account action can be alarming. If you need to deposit a large sum, be prepared to document where the funds came from.

Have any questions or concerns about the mortgage process? Be sure to call us at P1FCU. We are here for our members and are willing to do nearly anything to help you through this rewarding process. Thank you for your membership and for choosing us as your mortgage provider!