Why you should not apply for credit just before applying for a mortgage

If you want to get ava mortgage loan fast, there is only one rule you should follow: always pay your bills on time. Whether it is electricity, water or any other utility payment, all bills must be paid on time because they usually count against the borrower on their credit file. It is very important to keep up payments on outgoings because default payments will go against your efforts of borrowing a loan for at least one year. Once they stay on the file for one year, they can remain on that file for at least six years. This means that if a lender finds that you default in payments, you are likely to struggle when looking for a loan for the next six years. Even if you miss a mobile phone payment, this could mean the difference between securing a va home loan and not. To avoid this, it is highly recommended that you should always set up direct debits to all accounts available to you to ensure that you make all your payments on time. It is also important that you should not apply for any credit for a short time before applying for a mortgage. If you think that you need a mortgage, avoid applying for a line of credit for at least three months before applying for a mortgage. Applying for credit when you are about to get a mortgage is a bad idea and in most cases it hinders a borrower’s credit score and which also leads to rejection when borrowing a va loan. Six months should be the gap between your credit application and mortgage application. This is also because some lenders tend to research a borrower’s credit file any time the borrower applies for credit such as a credit card, loan or overdraft. Even if you do not take out the credit card contract, this will still be registered on the file. Why you should not apply for credit just before applying for a mortgage? Visit here va mortgage loan