MORTGAGE WITH COLLECTIONS ACCOUNTS! 
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The bad credit mortgage applicant with a repossession is not eligible for FHA-insured financing if the Minimum Decision bad credit Score with a repossession(middle bad credit score with repossession ) is less than 500.
If the middle bad credit score with repossession is between 500 and 579 the bad credit mortgage applicant with a repossession is limited to a maximum loan-to-value (LTV) of 90%.
If the middle bad credit score with repossession is at or above 580 the bad credit mortgage applicant with a repossession is eligible for maximum financing.
The lender must downgrade and manually underwrite a mortgage that received an Accept recommendation if only the non-occupying co-bad credit mortgage applicant with a repossession has a bad credit score. bad credit mortgage applicant with a repossession s with non-traditional or insufficient bad credit histories are eligible for maximum financing but must be manually underwritten using the procedures in Handbook 4000.1 II.A.5.
The middle bad credit score with repossession refers to
• the bad credit Score with repossession reported on the bad credit mortgage applicant with a repossession ’s bad credit report when all reported scores are the same.
• the lowest score where two differing scores are reported
• the middle score where three differing scores are reported
A middle bad credit score with repossession is determined for each bad credit mortgage applicant with a repossession . Where the mortgage involves multiple bad credit mortgage applicant with a repossession s, the lender must determine the middle bad credit score with repossession for each bad credit mortgage applicant with a repossession and then select the lowest middle bad credit score with repossession for all bad credit mortgage applicant with a repossession s. Where the mortgage involves multiple bad credit mortgage applicant with a repossession s and one or more of the bad credit mortgage applicant with a repossession s do not have a bad credit Score with a repossession(non-traditional or insufficient bad credit ), the lender must select the lowest middle bad credit score with repossession of the bad credit mortgage applicant with a repossession (s) with bad credit score(s). The lender must review the bad credit report to determine the bad credit mortgage applicant with a repossession ‘s middle bad credit score with repossession, except for mortgages to be insured under Sections 247, 248, Streamline Refinances, and Assumptions.
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