What other things does the lender look for on account statements?
Lenders are frequently reviewing checking account statements for a pattern of overdrafts that would indicate that you are not managing your money well. Frequent overdrafts and/or NSF charges can be a red flag to the lender and could affect your loan approval.
Additionally, if you have an ongoing balance and are using your overdraft line too frequently, it can Indicate you don’t have sufficient cash flow to meet your obligations based on the income you receive.
Learn more: Asset Related Questions
- Can I use cash deposits?
- Can I take a cash advance on my credit card?
- Can I deposit checks from sources other than my payroll check into my account?
- What about transfers into my account from another account?
- What do I do if I have already received money in my account?
- What other things does the lender look for on account statements?
- When do I need to have my down payment?
- What is required for gift documentation?
- My agent is writing my offer this afternoon and I forgot my checkbook. Can my girlfriend (or mom or brother or friend) write the earnest money check for me and I can pay them back?
- I don’t have enough money in my account for my earnest money. Can I write a check from my credit card account?
- Will my earnest money count toward my down payment?
- Do I always get my earnest money back if I don’t purchase the home?
- What other expenses will I have to incur in addition to what is on the closing cost estimates provided by my loan originator?