The no-credit movement is gaining steam, with the simple philosophy that credit is bad, and cash is king. Still, when it comes to buying a house, even the cash-only crowd sometimes wants a mortgage. Problem is, if you have no credit accounts, you have no credit history. What happens, then, if they want a mortgage? Manual underwriting that can offer a person with no credit score, or a bad credit history, a chance to successfully negotiate a mortgage. The process is time-consuming but can offer hope to people rebuilding their credit or to those who reject credit on principle. Without a credit report, lenders must have some way to see if an applicant is reliable and has enough income to afford a mortgage. It is up to the borrower to prove the case. One way is to show payments on non-traditional credit accounts. An applicant will have to prove that, for at least 12 months, he or she has made on-time payments on non-traditional credit accounts. Accounts like these are not typically included in a credit report: rent, utilities, cell phones, insurance, cable television and internet access. He or she will have to show check stubs or bank statements. The lender may even call the landlord or other third parties to verify the information. New online services, such as ecredable.com, offer to track these non-traditional payments to set up an alternative credit report and can be an asset to a borrower. An applicant must also show job stability (even a statement from an employer can help). The longer in a position, the better. Even the company they are with counts. An underwriter will consider employment at a large firm a better bet than a smaller firm. Next, the applicant must show financial resources such as a savings account, and a detailed explanation of all income sources. Finally, the applicant has to answer the lender's main question: Does the applicant have the money to make the monthly mortgage payments? That means the applicant must detail all the payments he or she makes now and demonstrate that he can make a mortgage payment. An applicant who has no credit history by choice will probably be able to show that he or she can make the mortgage payments since they have no other credit accounts. But an applicant who does have a credit account, such as a car payment, will have to show that the mortgage will not strain his or her current finances. A cash down payment of at least 3.5 percent is necessary but on a manual underwrite, 10 percent gives the applicant the best chance. If an applicant in a manual underwriting situation has any stain (bankruptcy or loan defaults) on his or her credit report, they will be asked to write an explanation of it. A very detailed explanation in writing can help here. Be sure to address every aspect of the debt.