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Debt ($18k) advice + homeownership
I was an idiot while I was younger and have racked up a $18k CC debt. I've been paying it down in hopes of a better credit score and to buy a home relatively soon (from originally $25k). My scores are 646 / 640 according to Credit Karma.

Right now, my parents are offering me a hefty down payment to buy my first home. They are also willing to cosign for me but I don't at all want them to know how big my debt is.

Is it worth getting a personal loan to help consolidate and pay off my debt faster? Or would letting them gift me the DP and cosign cause them to know all about my financial booboos?

I'm honestly lost at finding the first step to being debt free and having a home.


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That's quite the question.  If your CK scores are 640, then when a bank pulls your score it will likely be low 600s and will disqualify you from conventional.  Since this appears to be your first home, you should still qualify for FHA which is a lower DP and better terms.  If I were you, I'd be honest with your parents and let them know what is going on.  Unless you are going to be able to pay it off quickly, they will find out somehow.  Maybe they will even let you take some of what they ar giving you and put it towards debt to get a better credit scores.  If they decide not to help you, then you may need to find a way to earn some extra money.  But I would not recommend going after the ourchase of a home with that muuch CC debt unless you are making some really good money.  Good luck!

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As said, you may need to be honest here. I would also say that you should put off your home purchase for a year or two. You really need to get the credit card debt knocked down first. Not sure if you could get a consolidation loan at this point, your credit may not be good enough, let alone a mortgage loan. Can you get a second job for a year, do you have anything that you can sell, can you set a better budget for yourself. Set the goal of buying a house out 18 months, start studying all that you can about credit. Get your spending under control. Explain to your parents that you screwed up and are not in the position to purchase a home anytime soon and start working hard to remedy this situation. It will take time, which sucks, but keep your determination a year and a half goes by quick.

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