this person had a good credit score (720) for about 30+ years.
In the past couple years, a divorce has happened and credit card debt from before and after mounted to around 30k.
The house belongs to them, so there is a bit of equity (just slightly over the half way mark).
now credit is below 600 due to credit/debt ratio and several (10+ from various accounts)
So the question is:
is a good idea to get a reverse mortgage (would only pay in cash just enough to pay of the credit cards)....
Then, this person is on a fixed income (about 2,300) per month...
**would their credit score change enough, to be able to qualify for a refinance of her home (so the loan would be about $170k after the reverse mortgage. Meanwhile the very high interest stacks up against the house. So, this is something that shouldnt be left to chance completely. In any case, what do you think the chances are of that working out? is the income still too low to qualify? will the credit score even change much? thanks for your time!
when i said belongs to them, i mean, it belongs only to the one person we are discussing here, not the couple.
I'm not sure your information is correct Mr. top contributor,
A reverse mortgage (although intended for a final bail out of sorts for seniors) can be paid off and then the house refinanced. Atleast that is what I have been told. We are obviously discussing a senior here, else why would the question be there?
In the past couple years, a divorce has happened and credit card debt from before and after mounted to around 30k.
The house belongs to them, so there is a bit of equity (just slightly over the half way mark).
now credit is below 600 due to credit/debt ratio and several (10+ from various accounts)
So the question is:
is a good idea to get a reverse mortgage (would only pay in cash just enough to pay of the credit cards)....
Then, this person is on a fixed income (about 2,300) per month...
**would their credit score change enough, to be able to qualify for a refinance of her home (so the loan would be about $170k after the reverse mortgage. Meanwhile the very high interest stacks up against the house. So, this is something that shouldnt be left to chance completely. In any case, what do you think the chances are of that working out? is the income still too low to qualify? will the credit score even change much? thanks for your time!
when i said belongs to them, i mean, it belongs only to the one person we are discussing here, not the couple.
I'm not sure your information is correct Mr. top contributor,
A reverse mortgage (although intended for a final bail out of sorts for seniors) can be paid off and then the house refinanced. Atleast that is what I have been told. We are obviously discussing a senior here, else why would the question be there?