How often should you check your credit?

When was the last time you checked your credit? Was it six months ago? The last time you refinanced or purchased your home? Or even years ago, so far back you’re not even sure?

Well, just like getting your teeth cleaned at the dentist, getting your oil changed, and filing your taxes, you should be checking your credit report carefully at regular periods.

However, studies show that ...

Continue Reading →

Why that “free” credit score you just got is probably useless

Navigating the credit score landscape is sometimes treacherous for consumers, with so much confusing and seemingly contradicting information about scoring models, multiple credit bureaus, reporting guidelines, and plenty of websites offering “free” credit scores.
In fact, when someone clicks on one of those offers to view their credit score, they will quickly find out that the free offer:

1) Isn’t free, and

2) Also may not be ...

Continue Reading →

Cue the band, roll out the red carpet and drop the confetti…America’s average credit score just hit 700!

Cue the band, roll out the red carpet, and drop the confetti, because America just got some great (credit score) news: the average U.S. FICO score has reached 700.

FICO, which is one of several credit scoring models but also the most widely used one by lenders, including mortgage lenders, reported that the average score hit 700 for the first time ever. FICO scores are based on a 300-850, and lenders and creditors usually consider above 740 as “prime” credit, giving ...

Continue Reading →

What credit score do you need to buy a home?

 

If you’re thinking of buying a home for the first time, or maybe haven’t owned since the real estate collapse starting in 2008, you may be wondering what credit score you need to get a mortgage. 

In fact, before the housing market crashed, it was far easier for the average person to get a loan since credit standards were very low (or nonexistent!) and the subprime ...

Continue Reading →

TransUnion and Equifax Forced to Pay For Deceiving Consumers About Paying for Credit Scores and Services

When TransUnion and Equifax got caught for defrauding consumers by urging them to unnecessarily pay for credit scores and products, the Consumer Financial Protection Bureau (CFPB) stepped in to make things right. Now, the CFPB has taken strong action against the credit reporting agencies, forcing them to pay stiff fines as restitution to those they deceived.

In fact, TransUnion and Equifax have been ordered to pay ...

Continue Reading →

Mortgage brokers and loan officers: here are 10 ways you can increase a borrower’s credit score in short order (Part 2)

Loan officers and mortgage brokers often see potential home buyers fall a few points short of qualifying when it comes to credit score, but that doesn’t mean they need to be turned away. In fact, there are strategies we can employ to increase a borrower’s credit score by 5, 10, or even 25 points in a short period, allowing ...

Continue Reading →

A closer look at FICO’s many versions of your credit score.

A closer look at your different FICO scores:

What’s your FICO score? No matter what you respond, your answer will be wrong – or at least incomplete – because FICO actually has several scores for each score holder. In fact, FICO, the metric for consumer credit scoring introduced by engineer William Fair and mathematician Earl Isaac in 1956, has evolved from one general score into myriad ...

Continue Reading →
trended-data-use-credit-hisory

Trended Credit Data is the new “trend” in Fannie Mae underwriting

There is a new “trend” in mortgage loan underwriting, but thankfully, it’s not Pokémon Go, skinny jeans, or wearing a smart watch. Instead, the Federal National Mortgage Association (FNMA), commonly known as Fannie Mae, announced that they will soon require all lenders to use “Trended Credit Data” when underwriting single-family homes for mortgage loans.

In case you’re not up on the latest “trends” (if you see hundreds of young people walking around like zombies at your local park staring at ...

Continue Reading →
Page 1 of 3 123