Posted To: Pipeline Press

Remember when there actually was an “average,” and you weren’t afraid to say that someone was average? Now everyone is “above average.” (Did my sarcasm font come across?) I remember when they weren’t, and also remember when underwriters learned “the five Cs of credit”: capacity, capital, conditions, character, and collateral. In the “capacity” category the press picked up Fair Isaac changing its credit scoring model to FICO 10 later this year . Unless I missed something, the new FICO hasn’t been reviewed yet by Freddie and Fannie , nor the major correspondent nor wholesale investors, nor the major retail lenders. Millions will see their FICO scores decrease, millions will see them increase and thus improve loan program options…(read more)

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Source: Mortgage News Daily