Mortgage Mistakes to Avoid After Applying 

💠Don’t Switch Bank Accounts

Lenders need to source and track your assets. That task is much easier when there’s consistency among your accounts. Before you transfer any money, speak with your loan officer.

💠Don’t Apply for New Credit

It doesn’t matter whether it’s a new credit card or a new car. Organizations running your credit report in multiple financial channels (mortgage, credit card, auto, etc.) will impact your FICO® score. Lower credit scores can determine your interest rate and possibly even your eligibility for approval.

💠Don’t Close Any Accounts

Many buyers believe having less available credit makes them less risky and more likely to be approved. This isn’t true. A significant component of your score is your length and depth of credit history (as opposed to just your payment history) and your total credit usage as a percentage of available credit. Closing accounts hurts both of those parts of your score.

Do Discuss Changes with Your Lender

Be upfront about any changes that occur or are expected to happen when talking with your lender. Blips in income, assets, or credit should be reviewed and addressed to ensure your home loan remains approved. If your job or employment status has changed recently, share that with your lender. Ultimately, it’s best to fully disclose and discuss your intentions with your loan officer before taking any financial action. Get the complete list of Do’s and Don’ts During the Loan Process.