divorce: Marriage and Mortgages FAQs
- 02/01/10 01:31 PM
Topic: Marriage and Mortgages FAQs Q: Could one spouse's bad credit negatively affect the other? A: If a couple is applying for credit jointly, say for a loan or credit card, then yes. One person's lower score can negatively impact the interest rate the couple will be offered. This is because every borrower has three credit scores, and lenders use the lowest "middle" credit score of the two borrowers. We have seen many situations in the past in which one borrower was dropped from the application – but only if the lower score belongs to a non-working spouse. This can create … (2 comments)
Pat Killeen, Mortgage AdvisorVandyk Mortgage Corporationhttp://www.linkedin.com/in/louisvillekentuckyhomes(502) 472-0889
Louisville Kentucky - When a marriage ends in divorce, the lives of those involved are changed forever. During this time of upheaval, one thing that shouldn't have to change is the credit status you've worked so hard to achieve. Unfortunately, for many, the experience is the exact opposite. Unfulfilled promises to pay bills, the maxing out of credit cards, and a total breakdown in communication frequently lead to the annihilation of at least one spouse's credit. Depending upon how finances are structured, it can sometimes have a negative … (3 comments)
Topic: Marriage and Mortgages FAQs;)
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