This is the ninth post in a blog series about how your credit score analysis will affect your ability to qualify for a home loan in Northern Virginia. So far, we’ve covered Part 1, Part 2, Part 3, Part 4, Part 5, Part 6, Part 7, and Part 8.
Your Credit Score Analysis – Cash Advance Discussion Continued…
A cash advance is added to your owed debt immediately, which will lower the amount of credit available to you, as well as cause a dip in your credit score. Cash advances are also considered a risky move. Many of the larger credit card issuers re-evaluate their customer’s history on a regular basis. They do this to see if a customer is eligible for a raise in their credit limit, or if they are considered a risk, in which case they could close your account or cut your credit limit down. This can affect your overall credit score analysis that other lenders will see.
It's a good practice to regularly check your credit score analysis to see what is on it. This way, if there are errors or things affecting your rating, you can proactively do something to change it. Cleaning up a bad credit report can take some time and one mistake that many people make is applying for credit again and again, thinking this will make them look more credit worthy. Unfortunately, it can have the opposite effect in many cases. For those building their credit history for the first time, take care with what you sign up for and how often.
I hope you’ve enjoyed this blog series on how lenders examine your credit score analysis to determine how much of a loan you’ll qualify for on your home purchase. Call me at 703-462-0700 or email me at DarrenRobertsonHomes@gmail.com to learn about a mortgage lender who will save you over $1,000 in your closing costs when you buy a home in Northern Virginia!