The increasing popularity of “buy now, pay later” credit accounts has posed a significant challenge for mortgage professionals when qualifying borrowers. These accounts offer consumers the ability to purchase goods and services immediately and pay for them in installments over time, often without interest. However, the debt from these accounts can complicate the borrower’s financial picture and impact their ability to qualify for a mortgage.
Key points:
– “Buy now, pay later” credit accounts allow consumers to make purchases and pay for them in installments over time
– Debt from these accounts can complicate a borrower’s financial situation when applying for a mortgage
– Mortgage professionals must carefully assess the impact of this debt on the borrower’s ability to qualify for a mortgage loan
You can read this full article at: https://www.housingwire.com/articles/buy-now-pay-later-how-do-mortgage-pros-deal-with-phantom-debt/(subscription required)
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