Things to Avoid

Small mistakes can create big loan problems.

A plain-English guide to the common choices, document mistakes, credit changes, and money issues that can slow down, complicate, or derail a mortgage approval.

On this page
Review the Mistakes
Most Common Problems

Big Approval Mistakes to Avoid

These are the mistakes that can change your credit, debt-to-income ratio, available funds, or the documentation your lender must verify.

Do not open new credit accounts.

New credit cards, auto loans, personal loans, store cards, or furniture financing can lower your score and increase your monthly debt.

We recommend: Talk to your loan officer before applying for any new credit.

Do not use borrowed money for cash to close.

Credit card advances, payday loans, personal loans, and undocumented loans from friends or family generally cannot be used as acceptable funds.

We recommend: Use verified savings, eligible gift funds, or approved assistance programs.

Do not send screenshots or cropped photos.

Screenshots, partial pages, balance summaries, and cropped photos often create repeat requests because the lender needs complete official documents.

We recommend: Download full PDFs directly from the bank, payroll, or benefits portal.

Keep reading with lifetime access

The rest of this guide covers credit, money, documents, and the last-minute mistakes that can derail closing. Get it, plus every member resource, for a one-time $47. No subscription.

What’s inside for members
  • Credit mistakes to avoid before and during approval
  • Keeping your down payment and deposits verifiable
  • Document habits that slow underwriting down
  • Last-minute changes that can derail closing

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Disclaimer: LoanApproval101 is an educational website only. We are not a mortgage lender, broker, or loan originator. We do not offer, arrange, negotiate, or make loans; we do not take applications; and we cannot approve or deny anyone for credit. Nothing on this site is financial, legal, tax, or investment advice, and nothing on this site is a commitment to lend or a guarantee of loan approval. Loan approval decisions are made solely by lenders based on their own criteria. Program guidelines, rates, fees, and loan limits change frequently and vary by lender, loan program, borrower profile, state, and market conditions — individual lenders and credit unions may offer terms outside the guidelines described here. Information is provided “as is” without warranty of accuracy or completeness. Always consult a licensed mortgage professional (you can verify licenses at nmlsconsumeraccess.org) before making financial decisions.