I am planning to buy a home soon and I need a financial support for that. So, I want to take a mortgage now. I want to know how the lenders accept or reject an application on the basis of the credit rates. If we don’t have a credit card, and we have never taken out a loan, then we won’t have a credit history. And I have read that, in such cases, the lender won’t be able to predict our behavior and may reject a mortgage application. Is this true?
I have a credit card but, I use it rarely and thus I don’t have a detailed credit history. Will it cause an adverse result when I apply for a mortgage? If anyone knows the detail, please let me know that. I couldn’t find anything related to this, in my search. But, I found the details of current mortgage rates in Toronto, from some of the brokers. I want to clear my doubts before consulting them. Hope you would help me here. Thank you.