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Streamline may still work

520 Credit Score Refinance

A 520 keeps standard refinancing out of reach, but a streamline can still lower the rate on an FHA or VA loan.

By Onias Derilus, Mortgage Capital · NMLS# 1859012 · Last Updated: June 2026
520 Score · Refinance

A 520 credit score is below the 620 needed for a standard or cash-out refinance. The realistic option is a streamline. If you already hold an FHA or VA loan, FHA Streamline and VA IRRRL can reduce your payment without re-checking credit, making them the practical refinance route at 520.

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What 520 Can and Cannot Do

A 520 cannot refinance into a conventional loan or pull cash out, since both require the 620 minimum and a full credit review. That door stays closed until the score rises.

It can, however, benefit from a streamline. These programs target existing FHA and VA borrowers and lean on recent mortgage payment history rather than a score pull, so a clean 520 file can still qualify to lower a rate.

Refinance TypeAvailable at a 520 Score?
Conventional rate-termNo (needs 620)
Cash-outNo
FHA StreamlineOften yes
VA IRRRLOften yes with a VA loan
Conventional and cash-out refinances need 620
Streamline programs can still help at 520
They rely on payment history, not your score
Frequently Asked Questions

520 Credit Score RefinanceFAQ

Can a 520 credit score refinance a mortgage?

Through a streamline, often yes. Standard and cash-out refinances need 620, but FHA Streamline and VA IRRRL usually skip the score check, so a 520 with on-time recent payments may still lower its rate.

Can I pull cash out with a 520 score?

No. Cash-out refinancing requires at least 620 and a full credit review. A 520 is limited to streamline programs, which lower the rate but do not let you take equity out.

Official resources

Verify the details for your own situation against these government and agency sources: HUD FHA loan program and HUD Handbook 4000.1 (FHA rules).

Next Steps
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A Refinance With a 520 Score?

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Rates are illustrative only. APR and payments vary by credit score, loan amount, and market conditions. Subject to credit approval. Not a commitment to lend. NMLS# 1859012. Equal Housing Lender.