When you make a late payment or default on a payment, the lender or creditor reports the information to the credit bureaus. Then, it’s included in your personal credit report, which can then be used to enable other lenders or creditors to make a more informed decision as to whether to extend you credit. If you’re applying for a mortgage and have bad credit, this can affect your ability to secure a loan, but it doesn’t always have to be a complete barrier.

Does Bad Credit Always Stand in The Way of a Mortgage?
Posted by Rekha Pipuri |
17
May 2021