Our expert team assists you with disputes on your credit report and offers educational tools to help you create a plan for improving your credit score. We recognize that financial constraints can be a barrier to repairing credit, which is why we offer programs to fit every budget. 

No, requesting or looking at your credit report does not impact your credit score.

If you are not satisfied with our service after 90 days, we will extend your service for the duration of the paid months at no extra charge. Your satisfaction is our top priority, and we are dedicated to exceeding your expectations.

Of course! Your private information will remain secure at all times. Check out our Privacy Policy for more details.

Yes, our customers are free to cancel our service at any time. We take pride in our transparency and never lock you into a commitment. For more information on canceling, feel free to send us a message or give us a call.

Once you’ve selected the items on your credit report to dispute, we send out letters within 3-5 business days to initiate the challenge. Credit bureaus have 30 to 45 days to investigate, and they are required to provide a response within 60 days from the start date.

Customers enrolled in our credit dispute plans have the freedom to select and dispute as many items as they wish.

A low credit score can significantly impact various aspects of your financial life. Here's how:

• Employment Opportunities: Some employers review credit reports during the hiring process. A lower credit score might raise concerns about financial responsibility, potentially affecting your job prospects.
• Loan Interest Rates: Lenders often charge higher interest rates to individuals with lower credit scores to mitigate perceived risks. This means you'll pay more over the life of a loan compared to someone with a higher score.
• Loan Approvals: A poor credit history can lead to loan denials, as lenders may view you as a high-risk borrower.
• Major Purchases: Securing financing for big-ticket items like homes or cars becomes more challenging with a lower credit score. Even if approved, you may face higher interest rates and less favorable terms.

Maintaining a good credit score is essential for accessing better financial opportunities and reducing costs associated with borrowing.

As you evaluate whether to rent or buy a home, here are some things to keep in mind:

• The lower your mortgage rate, the less interest you will pay over the term of your home mortgage (with a fixed-rate mortgage).
• The more rents go up, the more you may save by owning a home (with a fixed-rate mortgage).
• The longer you plan to stay in your home, the more likely it is that you would benefit by buying rather than renting.*

The interest you pay on a mortgage may be tax deductible as well. Consult your tax advisor for information regarding the deductibility of interest and charges.

Credit scoring is a system used by creditors to help decide whether to extend credit to you. It is based on information about your financial history, such as your bill payment habits, the types and number of accounts you have, any late payments or collections, outstanding debts, and the length of your credit history. This data is gathered from your credit application and report. Creditors use a statistical model to compare your information with that of other consumers with similar profiles. Points are awarded for factors that indicate a higher likelihood of repaying debt. The total number of points, called a credit score, helps predict your creditworthiness, or how likely you are to repay a loan and make timely payments.

The most common credit scores are FICO scores, developed by Fair Isaac Company, Inc., ranging from 350 (high risk) to 850 (low risk).

Since your credit report is a key part of many credit scoring systems, it’s essential to ensure it’s accurate before applying for credit. You can obtain a copy of your credit report from the three major credit reporting agencies:

• Equifax
• Experian
• TransUnion

You are entitled to one free credit report every 12 months from each of these agencies.

Floating Interest Rate

• Changes over time: The rate fluctuates based on market conditions.
• Payments can increase or decrease: Monthly payments may vary, potentially starting lower but could rise if rates go up.
• Pros: Lower initial costs, potential savings if rates drop.
• Cons: Risk of rising payments and unpredictability.

Lock-In Interest Rate

• Stays the same: The interest rate remains constant throughout the loan term.
• Stable payments: Monthly payments are predictable and won’t change.
• Pros: Security and consistency, protected from rate increases.
• Cons: Typically higher initial rates, no benefit from rate drops.

Each option fits different risk preferences and financial goals.

Mortgage brokers are independent, licensed professionals who are trained to offer expert advice and find the best mortgage options for your needs.

Without a broker, you'd be left with the time-consuming task of contacting multiple lenders and comparing rates and terms yourself. A broker takes that hassle off your plate by doing the legwork for you. They have ongoing relationships with a wide range of lenders, including some you might not even be aware of, giving you access to more options.

The cost of a loan goes beyond just the lender's fees—it also includes fees from third-party vendors. These can cover things like appraisals, credit reports, title policies, pest inspections, escrow (if applicable), recording fees, and taxes.

These fees should be accurately detailed in a document called the Loan Estimate, which federal law requires the lender to provide. This document must be given to you once the loan application is completed and should include key details like the borrower’s name, Social Security number, property address, estimated property value, loan amount, and the borrower’s income.

The amount of down payment required to purchase a home can vary depending on several factors, such as the type of loan, the lender’s requirements, and your financial situation. Here are some common options:

1. Conventional Loans: Typically, lenders require a down payment of at least 3% to 20% of the home's purchase price. A 20% down payment allows you to avoid Private Mortgage Insurance (PMI).
2. FHA Loans: These loans, backed by the Federal Housing Administration, often require as little as 3.5% down, making them a popular choice for first-time buyers or those with lower credit scores.
3. VA Loans: For qualified veterans, active-duty military personnel, and certain members of the National Guard, VA loans may allow for a 0% down payment, with no PMI requirement.
4. USDA Loans: These loans, designed for rural and some suburban areas, also offer a 0% down payment option for eligible buyers.
5. Down Payment Assistance (DPA) Programs: DPA programs provide financial assistance to homebuyers to help cover the down payment and/or closing costs. These programs are often offered by local or state governments and nonprofits, and may offer grants, forgivable loans, or low-interest loans, particularly for first-time homebuyers or those meeting specific income qualifications.

Your down payment will depend on your financial situation and the loan program you're using. Additionally, a larger down payment can sometimes help secure better loan terms, like lower interest rates or reduced mortgage insurance costs. It’s worth exploring DPA programs if you qualify, as they can significantly reduce your out-of-pocket expenses.

The annual percentage rate (APR) of a loan is calculated using a formula that factors in both the interest rate and any associated lender fees, divided by the loan term. However, not all brokers calculate APR accurately, and it’s nearly impossible to determine an exact APR for adjustable-rate loans. Additionally, APR doesn’t account for early payoffs.

When speaking with your mortgage lender, be sure to ask about the adjustment frequency for adjustable-rate loans, the maximum possible annual adjustment, the rate cap, the index used, and the margin. These details can help you better understand how your loan might change over time.

The property is officially transferred from the seller to you at “Closing” or “Funding”.
At closing, the ownership of the property is officially transferred from the seller to you. This may involve you, the seller, real estate agents, your attorney, the lender’s attorney, title or escrow firm representatives, clerks, secretaries, and other staff. You can have an attorney represent you if you can’t attend the closing meeting, i.e., if you’re out-of-state. Closing can take anywhere from 1-hour to several depending on contingency clauses in the purchase offer, or any escrow accounts needing to be set up.

Most paperwork in closing or settlement is done by attorneys and real estate professionals. You may or may not be involved in some of the closing activities; it depends on who you are working with.

Prior to closing you should have a final inspection, or “walk-through” to insure requested repairs were performed, and items agreed to remain with the house are there such as drapes, lighting fixtures, etc.

In most states the settlement is completed by a title or escrow firm in which you forward all materials and information plus the appropriate cashier’s checks so the firm can make the necessary disbursement. Your representative will deliver the check to the seller, and then give the keys to you.

On a conventional mortgage, when your down payment is less than 20% of the purchase price of the home mortgage lenders usually require you get Private Mortgage Insurance (PMI) to protect them in case you default on your mortgage. Sometimes you may need to pay up to 1-year’s worth of PMI premiums at closing which can cost several hundred dollars. The best way to avoid this extra expense is to make a 20% down payment, or ask about other loan program options.

Below is a list of documents that are required when you apply for a mortgage. However, every situation is unique and you may be required to provide additional documentation. 

Personal

• Name, Date of Birth, and Social Security Number for each borrower
• Addresses where you have lived for the past two years (also the names and addresses of your landlords if you have been renting)

Income

• Most recent 30-day pay stubs
• Last two years of W-2 forms (1099's, if applicable)
• Employer names and addresses for the past two years, as well as the length of time spent at each job Letter explaining any gaps in employment in the past 2 years
• Work visa or green card (copy front & back)
• Last two years of federal tax returns (with all Schedules) of any income earned, if based on commissions or bonuses
• Alimony or Child Support to qualify: Provide divorce decree/court order stating amount, as well as, proof of receipt of funds for last year
• Social Security income, Disability or VA benefits: Provide most recent award letter from agency or organization
• Rental income: copy of lease(s) and last two years of tax returns with Schedule E

Source of Funds and Down Payment

• Sale of your existing home – provide a copy of the signed sales contract on your current residence and closing disclosure statement or listing agreement if unsold (at closing, you must also provide a signed/dated Closing Disclosure Statement)
• Savings, checking or money market funds – provide copies of bank statements for the last 2 months
• Stocks, Bonds and Bitcoins – provide copies of your statement from your broker or copies of certificates for the last 2 months
• Gifts – If part of your cash to close, provide Gift Affidavit and proof of receipt of funds

Debt or Obligations

• Names, account numbers, current balances, and monthly payments on all outstanding loans and active, revolving charge accounts (credit cards, gas cards, student loans, etc.)
• Paying alimony or child support: provide marital settlement/court order stating the terms of the obligation
• Thin credit profile or new credit profile, will need 3 non-traditional credit references with a 12-month history
• Copy of divorce decree and/or separation agreement, if applicable
• Name, address of lender, and account number on all property you own

Bankruptcy and/or Adverse Credit

• Bankruptcy discharge and all Schedules
• Information on any other adverse credit (judgments, collections, liens, etc.)

There may be additional documents required, but this checklist is a start to help keep you organized.

Call Ark of Finance today, and we’ll help walk you through the steps to apply for a home loan.

Ark of Finance can help you understand what should and shouldn't be on your credit report, as well as discuss techniques for getting erroneous reported items removed.

Ark of Finance offers personalized credit enhancement solutions tailored to your unique financial situation. Our expert team will work with you to identify areas for improvement, develop a customized plan, and provide ongoing guidance to help you achieve your credit score goals.

Ark of Finance specializes in tailored loan services designed to meet your specific needs. Whether you're looking for a mortgage loan, business loan, land lots or commercial loan, our experienced team will work with you to find the best solution for your financial goals.

The HomeReady Bootcamp program is a comprehensive 3-day workshop designed to equip you with the knowledge and tools you need to achieve homeownership. From mortgage basics to finding the perfect property, our program covers all aspects of the home-buying process in an engaging and interactive format.