When going through the process of obtaining a mortgage loan, your lender will be paying close attention to your credit. If you start making large purchases or even moving money around in your bank accounts this could raise a red flag to an underwriter which will affect your ability to get your loan approved. From the time you apply for a mortgage loan until the time you close, your financial state should remain the same. Use your credit as you normally would and stay current on your existing accounts.


Here is What Not to Do When Applying for a Mortgage Loan:

  • Don’t change jobs, become self-employed, or quit your job.
  • Don’t buy a new vehicle or any other big ticket item.
  • Don’t use credit cards excessively or fall behind in payments.
  • Don’t spend money that has been set aside for your closing.
  • Don’t omit debts or liabilities from your loan application.
  • Don’t apply for new credit of any kind.
  • Don’t consolidate your debt.
  • Don’t make large deposits without first checking with your loan officer.
  • Don’t change bank accounts or move money between accounts.
  • Don’t co-sign on a loan for anyone.