refinance load declined

[Gp G.]

Below is the response from my banker who did refinance earlier for me. Any lender who can do cash out refinancing for me based on Property/Asset rents but not on my credit score which is currently low around (656, 650, 630 in 3 bureaus) due to recent purchases. Please advise. Thanks in advance

I cannot get the automated underwriting to approve your loans

It must be the layering of the properties/credit score….

Get your balances to 30% of the limit and when your score goes up we can make another run

By the way property on LLC, hope that lender can do it cash out refinance even property on LLC.

Please advise. Thanks in advance

[Kyle J.]

@Gp G.  It sounds like the problem may be that you may have high personal debt and credit utilization ratio (over 30%) which is causing your low credit scores.  The good news is, if that's the case, that can be fixed pretty quick (generally in one credit card statement period). 

The way to fix it is to 1) Pay off or down your credit card balances, or if you can't then 2) Request higher credit card limits from your credit card companies (this obviously won't lower your balances but it will reduce your credit utilization ratio which will help your score).

Your credit utilization ratio has one of the biggest impacts on your credit scores.  And you do not want to be where you are now (30%+).  Ideally, the lower the better, but here's a visual depiction to give you an idea of what you should be aiming for: