MsDisney76 t1_jdtvd2e wrote on March 27, 2023 at 3:41 AM

Don’t get another personal loan, just aggressively pay off your debt, and stop ALL unnecessary spending. A personal loan won’t help your credit score, just lower the length of your credit history which is a negative. Pay off the personal loan, then the credit cards, always pay in full each month, and then start saving like crazy. No shopping, no meals out, and play board games with friends.

Someone mentioned you may need to wait longer to buy your house. You will need a very healthy reserve when you buy a house or you will soon be in more credit card debt than you are now because even newer homes are expensive. Lately, insurance goes up each year, taxes increase each year, only the mortgage part stays the same; and repairs and maintenance are never ending.

AstariaEriol t1_jdu42ml wrote on March 27, 2023 at 5:14 AM

Can confirm. Just bought my first home. Already spending thousands of dollars to fix urgent issues I didn’t know about until after closing. Luckily I budgeted for a lot of unforeseen expenses.

simplyhouston t1_jdujc8p wrote on March 27, 2023 at 8:44 AM

>A personal loan won’t help your credit score, just lower the length of your credit history which is a negative.

This is the big issue. You will hurt your chances of a mortgage approval in general. An underwriter will most likely look at it and see you trying to borrow a lot in a little time and think you are high risk. I work with first time buyers quite a bit.