This file explains the different Empirica TU scoring models. It's interesting also. I like the part about "don't ever show the credit seeker their score". http://www.openonline.com/pdf/tu_emprica2.pdf
Hay man I really don't know what to say. Is far as I know there is no term "mortgage FICO". There is Fair Isaac's FICO score on a scale of 300 to 850 that does not include as factors a lot of factors that do go in to mortgage lending decisions, and then there are credit score models used by mortgage lenders that do consider these other factors. If I am going to believe anyone out their I would start with Fair Isaac and other companies making credit risk models. Then I would look at lenders. The last people I would believe is the Credit Reporting Agencies (CRA's). We are not their clients, lenders are their clients. In addition, as I said twice before, Fair Isaac can sell a score from a score model to a mortgage lender that includes factors not in a FICO credit risk model. In any case, this is an extremely complex subject and we learn together. The main thing is that getting your FICO score, and/or your E-loan score, up is a good thing to do. Once you get over 660 to 680, the credit world is yours.
EXCESSIVE TIME SINCE LAST LATE (NEVER) EXCESSIVE TIME SINCE LAST BK (NEVER) EXCESSIVE TIME SINCE LAST COLLECTION (NEVER) EXCESSIVE INCOME ($XXX,XXX) EXCESSIVE TIME SINCE MOST RECENT MORTGAGE (I'M 13 YEARS INTO A 30 SO WHAT) EXCESSIVE CREDIT LIMITS
Here is some supporting info for my point of view: "The secondary market mortgage company has removed FICO credit scores from its Desktop Underwriting processes, and will use credit data directly from a borrower's credit report By Francis Solomon Homestore.com Fannie Mae has replaced Fair, Isaac & Co.'s credit scoring system with specific criteria taken directly from the borrower's credit reports to assess their credit history. By using its own credit-assessment model instead of Fair Isaac's credit scores, the nation's largest financing source for home mortgages says there an be more of a dialogue with consumers. Distinction in Payments: Pamela Johnson, vice president for single-family mortgage business at Washington-based Fannie Mae, said the FICO scores made no distinction between the type of credit the borrower was paying off. As a result, she said, the scores could penalize one's credit report whether the late payment was on a credit card bill, utility payment or on a mortgage payment. By using the selected criteria directly from actual credit reports, Johnson said Fannie Mae could make that distinction and potentially approve a loan for a borrower who has a record of consistent mortgage payments." http://homestore.com/homefinance/Credit/FannieMaeAug.asp?source=a2ls7tft776
A plus of this system will be if you have a lot of inquiries, you will be penalized less. If you have a late pay on a mortgage you will be penalized more. I personally am not in favor of any particular credit scoring system. I just want to figure out what the rules are so I can win at the credit game!
So I have 13+ years of PERFECT MORTGAGE payments... 24+ years PERFECT ALL credit... A few inquires to get better deals... Lots of available credit (most unused)... H/H INCOME $XXX,XXX RE-FI UNDER 5% SHOULD BE A DONE DEAL??? IN THE PAPER...4.75% & 2.90% 30 YEARS MOST OF MY CREDIT CARDS ARE 0.00% to 4.90%...so I don't know about a CASH-OUT RE-FI... But I guess they are all short term except BofA... I'm still HOLDING OFF...I DON'T KNOW WHY...OTHER THAN I COULDN'T ACCEPT ANOTHER DENIAL!!! WIFE SAYS GO FOR IT OR SHE WILL!!! I HAVE ALL THE ANSWERS IN MY HEAD...SHE WILL HAVE TO OPEN IT UP WITH A CAN OPENER I GUESS????
I ALREADY E-MAILED THE OWNER...SHE IS FIVE BLOCKS FROM WORK...I CAN E-MAIL, FAX, SNAIL MAIL, PHONE, OR DO IT IN PERSON... I'M SCARRED, I GUESS...
I quote you again at the risk of redundancy. You still haven't given any evidence that that there is a preponderance of use of "bankruptcy scoring" models-- MDS or any other-- in mortgage underwriting. And, yes, I understand that automated underwriting systems use factors not on credit reports, as well, to make decisions. A borrower with $10,000 in the bank is a better risk than one with $100, for sure. You're working really hard, though; it's admirable-- and I want to make sure you're not defending an inaccurate position. Ever read creditscoring.com? What do you think of it?
Now here is some interesting info this is the first i've ever heard of the exact criteria used for a score card--namely one account! I remember hearing of someone who had an astronomical score with one mortgage loan that had just been paid off.(woe to him when it drops off!)
This quote would indicate that while all the customers that come through the door of a mortgage company will have a regular FICO score used as an initial screening tool, the 75% or so of potential borrowers who have good credit would be refereed to Fannie Mae or Freddie Mac. Of these 100% would be graded by Fannie Mae and Freddie Mac's proprietary credit scoring system. "In a nutshell, credit scoring is a statistical method of assessing the credit risk of a loan applicant. The score is a number that rates the likelihood an individual will pay back a loan. The score looks at the following items: past delinquencies, derogatory payment behavior, current debt level, length of credit history, types of credit, number of inquiries. Credit scoring will place borrowers in one of three general categories. · First, a borrower with a score 680 and above may be considered an A+ loan. The loan will involve basic underwriting, probably through a "computerized automated underwriting" system and be completed within minutes. Borrowers falling into this category may have a good chance to obtain a lower rate of interest and close their loan within a couple of days. · Second, a score below 680 but above 620 may indicate underwriters will take a closer look at the file in determining potential risks. Borrowers falling into this category may find the process and underwriting time no different than in the past. Supplemental credit documentation and letters of explanation may be required before an underwriting decision is made. Loans within this FICO scoring range may allow borrowers to obtain "A" pricing, but loan closing may still take several days or weeks as it does now. · Third, borrowers with a score below 620 may find themselves locked out of the best loan rates and terms offered. Mortgage professionals may divert these borrowers to alternate funding sources other than FNMA and FHLMC. Borrowers may find the loan terms and conditions less attractive than the "A" loans, and it may take some time before a suitable funding source is located." http://nt.mortgage101.com/partner-scripts/1005.asp?p=relibrary
Re: really, I was asking because in fact the credit bureau information is a moving target. There's always information coming into the credit bureau. But something else will always change. Maggie75 This is why scoring is so unreliable and unstable. it should be outlawed
