NO CREDIT? YOU CAN STILL GET A MORTGAGE

Many people use a "cash-only" policy, and therefore end up having no way to prove their creditworthiness. If you have no credit, there are other ways to prove your creditworthiness. In fact, you probably have more credit than you think.

You can use the following references to prove you have credit:

• Rent: This one of the strongest references when buying a home.
• Utilities: You can use the statements as evidence, and many utility companies will issue credit letters.
• Short-Term Notes: Many of the 30-, 60-, or 90-day personal note carriers will issue a credit reference.
• Rental agencies: The furniture and appliance rental companies will also issue credit letters.
• Car references: Many car lots have their own loan papers, and although they do not report to credit bureaus, they will probably be happy to help you.

HOW TO GET A MORTGAGE WITH PAST CREDIT PROBLEMS

We've all had tough times at one point or another. Most important of all, don't be afraid or embarrassed about trying to start again. Everyone deserves a second chance.
There is a big difference between a person who had a bad experience in his or her life and a person who is a bad credit risk.

The three main questions that every mortgage lender asks are:
What happened? This means that he will be interested in knowing what caused you to have the bad credit experience.
What did you do about it? The lender will look for efforts that you made to try and work things out.

Why will it never happen again? The lender will need to see that you're back on your feet, and that you have learned from your bad experience and made the appropriate changes in your financial life to ensure that you don't face the same problems again.
You can qualify even if you had credit problems in the past.