unsecured LOC with 750 FICO - Posted by JD

Posted by JD on February 28, 2006 at 22:38:47:

Thanks for the reply. But what about splitting up the 100K between three or more banks. I know one bank would not do the full amount. I have heard WellsFargo is easy to work with but I do not want to go out there and start applying and have 10 seperate inquires on his credit report. I am trying to put together a game plan before we start.

unsecured LOC with 750 FICO - Posted by JD

Posted by JD on February 27, 2006 at 23:10:20:

We need an unsecured line of credit 100K or more to buy and sell. I have the experiance and my partner has the credit. He has been self employed for 2 years so he does not show much in the way of income. His scores are 736,788,765. We do not want several inquires on his report and drop his scores, but want at least 100K in LOC. This needs to be quick and easy as we have one deal under contract and want to go for a second. It does not matter if it is with a few different banks/lenders. Any suggestions?

Re: unsecured LOC with 750 FICO - Posted by FILIPPO

Posted by FILIPPO on February 28, 2006 at 19:38:53:

if you find a place to give you a $100k unsecured loc let me know. as far as i know, no way will any finance institution borrow out that much unsecured. you will need to secure it with a mortgage or a business.

The Nature of the Beast… - Posted by JT-IN

Posted by JT-IN on February 28, 2006 at 09:02:36:

Today vs. 6 months or a year ago…

Banks are reelling a bit, from regulators’s scrutiny. My experience is that the banks that had no problem doing unsecured lending, in the multiple 100’s of thousands, are now requiring securitized loans, by 1st mtg positions.

They are expecting lots of heads to roll, as things continue to get tighter in the RE investing game… is the only interpretation of such moves… So be prepared to offer a mtg on props that you acquire. What you might want to do is to have the lender underwrite your credit worthiness up to a certain limit, with loans to be secured at the time of acquisition by a 1st mtg on whatever you are buying. Simplified mini-appraisal (aka drive-by), making sure that the property is worth close to what you are stating it to be…

You’ll have far better success in obtaining these LOC if you deal with a comm’l LO in small or regional banks… Have you documentation in place in advance, maybe a copy of the credit report, your business plan outline, stating what you intend to do, etc… If you are talking to the right person at the Bank, they can assess what you have in the matter of minutes, and say that conditionally, upon verification of the presented data, that they Bank could loan X amount… and what the terms and conditions would be…