Close
Login to Your Account
No Account?
+ Reply To This
Results 1 to 5 of 5
  1. #1
    Registered User Senior Member
    Posts
    171

    Mortgage lenders now looking at historical payment data

    I was just reading how Fannie Mae is moving mortgage lenders to look at more historical payment data as part of their underwriting.

    It turns out research shows that paying your credit card balance in full every month is a strong indicator of credit-worthiness. Especially compared to consumers who usually just pay the minimum balance.

    Apparently, there are a lot of consumers out there who avoid debt. They have great payment histories, but score low for credit availability and utilization. To make sure these thin-files that otherwise should score well are not left behind, mortgage lenders are now taking a deeper look.



    I think this is a great idea and a huge positive change.

  2. Mortgage lenders now looking at historical payment data
  3. #2
    Registered User Senior Member
    Posts
    191
    Wish this had been around when we were buying. At the time, we had no student loans, no car loans, one credit card that we paid in full every month - and with a low limit to boot.

    We were anathema to lenders. Not even sure to this day how we got approved.

  4. #3
    Registered User Pro Member
    Posts
    556
    Yes - more of this. Let's not encourage people to go into debt so they can get credit when they need it for something real. Like a house.

  5. #4
    Registered User Senior Member
    Posts
    242
    I wonder if we'll see more action against other banks. I bet that Wells isn't the only one engaging in this sort of behavior.

  6. #5
    Registered User Semi Pro Member
    Posts
    416
    I'd love for more lenders to look at how you pay your bills, and not just how much credit you can handle.

    The current system just encourages spending and debt. Lets encourage hard work and thriftiness instead.

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •