For many Veterans who currently have a VA loan and a poor credit score, whether or not they can participate in the Alabama VA streamline refinance is not really all that clear cut. According to VA streamline guidelines from VA, as long as they have a good mortgage payment history, they can still particpate in the VA streamline program no matter what their credit score.

But…

Many lenders across Alabama now require a minimum credit score, which can be a factor – possibly a big factor. You see, VA doesn’t actually lend you the money, they only insure your loan. So if a lender has a credit score requirement for the VA streamline refinance program, then it will apply.

But there is some good news.

Because the requirements as to whether or not there is a minimum credit score requirement on a VA loan is an individual lender decision and requirement, if one lender has the minimum credit score requirement – it doesn’t mean that they all do.

So if you are an Alabama Veteran who has a poor credit score but a good mortgage payment history, be sure to shop around for Alabama lenders who can loan money under the VA streamline program guidelines and don’t require a minimum credit score.

You might be surprised at how easy it is to find one!