What else is affected with credit rating?

You may be surprised but if you do not act financially responsible, it can prevent you from getting a job, renting an apartment or even opening a bank account. The fact of matter is that your credit rating is very important in today’s society. Your ability to keep it up to date by monitoring it is crucial. Once a year you can pull a free credit report from each agency. Check report for accuracy, should it be reporting errors contact them immediately to resolve issue. Some people might think a simple phone call can fix everything. That couldn’t be farther from truth, repairing damaged credit takes time and only you can do it. Once you file a claim, stick with it and make sure it gets resolved. Once a correction has been made you will receive notification or an amended report from agency showing change. Your credit report has much more at stake for you in present and in future, watch it closely.

Once you set ball in motion, you will have to get your current mortgage holder to provide a statement of payoff that shows how much you owe at this point in time. Your home will need to be appraised in value and an interest rate will be locked in for a period of 60 days. You will be asked to sign several pieces of paper to release this information from mortgage company. You may also have to turn in cover page of your homeowner’s insurance policy to show break down of your coverage.

Should all paperwork be in order, you will be given a tentative closing date by a registered title company. It is title company’s job to make sure that all documentation and title pass from current bank to new one at settlement table. At close, you will resign your paperwork and title documentation over to a new lender. In some cases, it may be same lender as mortgage company that you currently have. Should you have asked for some cash back a check will be presented at this time.