Fix credit before closing on first home

[Samira Ouraga]

Hello!

I signed a contract and paid the earnest fee with a construction company for my first home. My closing is in 1 month and 2 lenders I talked to sais my monthly payment would be $3400. It is too high for me. I have applied for the mortgage yet. 

Now I just discovered that credit score dropped significantly ( below 620) due to a credit card issue I had. I am really worried that I wouldn’t get a loan or that my interest rate would be very high because of this. 

I am supposed to sign the papers with the title company in a few days and I am very nervous. What can I do? 

I want to close on the house but want a reasonable mortgage. I can’t afford the estimated $3300/month payment . If I pay off the credit card, how long will it take before my credit score goes up? 

the property is in Texas.