Pre-qualification is a way to see how much you may be able to borrow.

You can be 'pre-qualified' over the phone with no paperwork by telling a lender your income, your long-term debts, and how large a down payment you can afford. Without any obligation, this helps you arrive at a ballpark figure of the amount you may have available to spend on a house.

Pre-approval is a lender's actual commitment to lend to you. It involves assembling the financial records and going through a preliminary approval process. Pre-approval gives you a definite idea of what you can afford and shows sellers that you are serious about buying.

Obtaining your credit report is as easy as calling and requesting one. Once you receive the report, it's important to verify its accuracy. Verify the "high credit limit,"'total loan," and 'past due" columns: If you find errors, mistakes are easily corrected by writing to the reporting company, pointing out the error, and providing proof of the mistake.

How much you will qualify for depends on your credit score

If you want information about your credit score, there are three major credit reporting companies: Equifax, Experian, and Trans Union.

• CREDIT REPORTING COMPANIES
  Company Name	Phone Number
  Experian	1-888-524-3666
  Equifax	1-800-685-1111
  Trans Union	1-800-916-8800