Myths about bad credit refinancing

There is a lot of bad information out there. If you have bad credit and are shopping around for a refinance or a mortgage you may run into some of this.  It is vital that you are educated because of this bad information.  I've had reputable bad credit mortgage lenders and refinancing specialists tell me some of this.  Here is the truth.

• Closing accounts - Your mortgage lender may tell you to close out some accoutns to improve your bad credit score in order to get you refinanced.  This is not true, the best option is to pay the balances down, not close them.
• Checking your FICO score will harm you - Again ordering a copy of your credit score does not harm you.  But applying for new credit does.
• Credit counseling will harm your score - This is just not true.
• The FICO does not matter - This score is what lenders base 75% iof their decision on.