Thin Credit? Consider Alternative Lending

We all know that when purchasing a home through conventional means, a sterling credit history is generally required to receive approval. In order to build credit it is also necessary to create debt, so what do you do if you’re the type of person that prefers not to use credit and likes to pay with cash as much as possible? You risk running into the problem of “thin credit”.

Lenders certainly want to grant mortgages, but there is always the element of risk, which is why they do their homework by checking things like income, credit, and assets to make sure the borrower is financially qualified. However, there are also millions of people that have very old credit scores or reports with an insufficient amount of data, also known as “credit invisible” or “thin credit”.

“Thin” or “invisible” credit borrowers are yet another reason why it may be a good idea to seek alternative or private lending services when traditional mortgage lenders turn you down. Credit reports are not a major factor in determining eligibility as these types of lenders have a different set of criteria when determining loan eligibility and you can typically expect a closing in just a matter of days. If you’re among the people with thin credit, we may be able to help you with overcoming the obstacle of obtaining financing.

In other news, we recently closed on a $75,000 loan in Punta Gorda, Florida with an LTV of 53%. The loan closed in only eleven days.

This update is brought to you by Michael Internoscia, Principal Broker and CEO of hard money lenders Florida company M & M Private Lending Group. We have over three decades of experience specializing in private money real estate loans and we pride ourselves on providing our esteemed clients a service that’s personalized while delivering low rates and closing costs. We also offer mortgage note investments and have worked extensively with brokers and affiliates. Call 305-363-7169 or 954-445-4434 to speak with a lending representative about our Florida private loans or visit our website at to fill out an application form.