| Chase | Credit | Installment Debt/Revolving Charge | Installment Debt/Revolving Charge (06/15/10) - • Payments of ten months or longer must be considered in ratios. • If debt is 10 months or less may be omitted with compensating factors per underwriter discretion |
| ING Mortgage | Credit | Installment Debt/Revolving Charge | The following are not included in the DTI ratio:
- Student loans that are in “deferment”
- Installments debt with <= 10 remaining monthly payments |
| SunTrust | Credit | Installment Debt/Revolving Charge | Installment debt payments are not
counted in the total debt ratio if
there are no more than ten (10)
remaining payments.
• If the loan is secured by a financial
asset that may be liquidated to pay
off the debt (i.e., 401K, certificate
of deposit, mutual funds or stocks),
the payment must be EXCLUDED
in qualifying ratios. In addition, the
asset value must be reduced by
the loan balance before adding it to
the borrower’s total liquid assets. |
| GMAC | Credit | Installment Debt/Revolving Charge | A. Verification of Credit Requirements - All accounts, revolving and installment, reported by the Borrower on the application must be verified directly by a credit reference or verified on the credit report. The balance,
rating and terms of the account must be verified. If the account has not been updated on the credit report within 90 days of the date of the credit report, a supplement to the credit report or a separate written verification form must be obtained. The verification of mortgage, rent or credit must be sent directly by the lender to the creditor. The return address on the verification must be the lender’s address. The hand carrying of verifications is strictly prohibited. |
| Flagstar | Credit | Installment Debt/Revolving Charge | Installment debt. Generally, all installment debt that is not secured by a financial asset—including student loans, automobile loans, and home equity loans—should be considered as part of the borrower's recurring monthly debt obligations only if there are more than ten monthly payments remaining to be paid on the account. However, an installment debt with ten or fewer monthly payments remaining should also be considered as a recurring monthly debt obligation if it significantly affects the borrower's ability to meet his or her credit obligations. Deferred installment debt—such as student loans and loans in forbearance—must also be included as part of the borrower's recurring monthly debt obligations. If the borrower's credit report does not indicate the monthly payment that will be payable at the end of the deferment period, a copy of the borrower's payment letter or forbearance agreement should be provided to document the payment amount to use in calculating the borrower's total monthly obligations. Deferred student loans must be included in the qualifying ratios. This includes student loans for which the repayment period has not yet started or payment has been suspended with creditor approval. If a monthly payment is not stated on the credit report, 2% of the outstanding balance will be used as the monthly payment. |
| Sydion Financial | Credit | Installment Debt/Revolving Charge | Installment debts, and other mortgage debts, with more than 10 payments remaining (note: debts that extend 10 months or
less should also be considered if the payments significantly affect the borrower’s ability to meet credit obligations) |