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Frequently Asked Questions
If you’re considering a home loan with bankcda, you might be wondering: How long does the approval process take? What documents will I need to apply? Can I use a mortgage loan for a second home or investment property? What are the closing costs? At bankcda, we believe in making the lending process transparent and stress-free. Our team is here to answer your questions, explain your options, and ensure you feel confident every step of the way.
What kind of loans can I get with bankcda?
- bankcda recommends loans you may be eligible for based on the information you provide.
When you work with bankcda to buy a home, you may see mortgage recommendations for:
- Conventional Loans
- FHA loans (including FHA Streamlines)
- VA loans (including Interest Rate Reduction Refinance loans)
- Jumbo Loans
What are the requirements for getting a loan with bankcda?
- We look for certain things when we evaluate a loan application. While the approval process is unique to each person, here are some general guidelines.
- Ideally, your monthly expenses shouldn’t be more than 45% of what you earn each month.
- When you purchase or refinance a home, we need to verify your assets. We also like to see a two-year work history with proof of current, stable income.
- Most programs require a credit score of 620 or higher.
How do I know how expensive of a home I can afford?
- Determining how much you can spend on your home depends on several factors such as your income, monthly debt, down payment, and credit score. A bankcda Mortgage Loan Officer can walk you through some of these questions during the preapproval process.
Can bankcda provide a preapproval letter?
- bankcda gives you a Pre- Approval Letter, which is an initial review of the basic financial information you shared. Similar to a preapproval letter, this provides an estimate of how much home you can afford but does not verify your financial details or credit history.
- After you get a Prequalified Approval Letter, the next step is to maximize your buying power with a Verified Pre-Approval Letter. We verify your income, assets and credit up front, which can help your offer stand out.
What’s the difference between pre-approval and verified pre-approval?
- Pre-approval is a preliminary estimate of how much a lender might be willing to lend you, based on a review of your credit history, income, and assets
- Verified Pre-approval is a more in-depth review of your financial situation, where the lender not only checks your credit but also verifies your income and assets using documentation like pay stubs and bank statements.
What does it cost to get a loan with bankcda?
- Applying with bankcda is free! There’s no cost to see your mortgage recommendations or get approved. However, if you decide to move forward with your loan, there are costs involved – just like with any other lender.
- Things like the size and type of the loan, your credit score, and interest rates all play a role in determining how much you’ll pay to borrow money.
How will applying with bankcda affect my credit?
- Your bankcda application may have a minor effect on your credit score, lowering it by just a few points. Checking your credit is a necessary step for getting a mortgage. It allows us to show you real mortgage options and interest rates – and get you approved.
- You have a 45-day window in which multiple credit checks from mortgage lenders are recorded only once on your credit report. This is so you can shop around for a mortgage without your credit taking a big hit.
If I have a bankcda mortgage and want to refinance, will I have to pay closing costs again?
- Yes. There are costs related to processing any new loan application; they can include fees paid to third parties, such as an appraiser, the title company, and other closing expenses. Talk with your bankcda Mortgage Loan Officer to see if refinancing is the right option for you.
Can I have my mortgage payment deducted automatically from my checking or savings account each month?
- Typically, after closing your mortgage loan, you will have the option of enrolling in an automatic mortgage payment program. You may be asked to provide an authorization form. The payment is typically debited on a preset day each month.