by PA Mortgage Expert on July 26, 2009
For the Veterans living in Pennsylvania who currently have a VA loan, many have heard about the Pennsylvania VA streamline refinance – also known as the VA IRRRL program.
Many are also wondering “what is the minimum credit score for the Pennsylvania VA streamline refinance?” to which there is a potentially confusing answer:
The answer to the question of “what is the minimum credit score for the VA streamline refinance is:
According to VA guidelines, there is no minimum credit score. But according to lender guidelines, there may be a requirement for minimum credit score depending on the lender.
VA isn’t the organization that actually lends you money, various VA / HUD approved lenders do. And so even though the VA doesn’t have a minimum credit score guideline, if a particular lender does, then that guideline will apply and a with that particular lender, they will have a minimum credit score requirement for the VA streamline refinance program.
VA Streamline Refinance: What Minimum Credit Scores Apply?
Although each lender has their own guidelines, many lenders right now are requiring their minimum credit score for the VA streamline refinance is 620. There may be a select few that don’t require a minimum credit score, but most of the lenders offering the VA streamline refinance are requiring a 620.
So if your mid credit score is below a 620, and you have a lender (or two, or three…) tell you that they require a 620 minimum credit score, be sure to ask them if they are aware of any other lender who doesn’t require a minimum credit score for a VA streamline.
There is at least one lender out there who currently is still offering the VA streamline with no credit score requirements.
But it could change at any time!
by PA Mortgage Expert on July 21, 2009
Mortgage Fraud: Is It Worth It?
Lately, there have been quite a few headlines in the news regarding mortgage fraud – both right here in Pennsylvania as well as in the national news. Many experts point to mortgage fraud as one of the reasons that the country is experiencing a housing crisis. And although to some people it may seem to be a case of “too little, too late”, agencies such as the FBI are cracking down on mortgage fraud — and they appear to just be getting started rounding up the bad guys.
From The FBI Website:
Mortgage Fraud is investigated by the Federal Bureau of Investigation and is punishable by up to 30 years in federal prison or $1,000,000 fine, or both. It is illegal for a person to make any false statement regarding income, assets, debt, or matters of identification, or to willfully overvalue any land or property, in a loan and credit application for the purpose of influencing in any way the action of a financial institution. Some of the applicable Federal criminal statutes which may be charged in connection with Mortgage Fraud include:
- 18 U.S.C. § 1001 – Statements or entries generally
- 18 U.S.C. § 1010 – HUD and Federal Housing Administration Transactions
- 18 U.S.C. § 1014 – Loan and credit applications generally
- 18 U.S.C. § 1028 – Fraud and related activity in connection with identification documents
- 18 U.S.C. § 1341 – Frauds and swindles by Mail
- 18 U.S.C. § 1342 – Fictitious name or address
- 18 U.S.C. § 1343 – Fraud by wire
- 18 U.S.C. § 1344 – Bank Fraud
- 42 U.S.C. § 408(a) – False Social Security Number
Mortgage Fraud in Pennsylvania: It Still Happens
Some people think that mortgage fraud doesn’t really happen anymore, but it is alive and well. Chances are that some type of mortgage fraud is happening right here in Pennsylvania, right now. If you are aware of any mortgage fraud victims or scams, be sure to contact the FBI.
