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Old 02-10-2008, 08:48 PM
 
27 posts, read 91,475 times
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Which one of the online credit report companies give the most accurate credit score, I've read that two of the credit bureaus gives inflated scores to the consumer, sometimes as much as 30 points or more.

The reason for asking is that my spouse's score is borderline for a FHA loan, according to the loan agent I have been dealing with. The agent stated that they are now starting to require a min. score to qualify for an FHA, and a higher score to get a better rate.

I would like to monitor her score so I know when we can apply without fear of being declined.

Also does any one know if FHA lenders a requiring a min score to qualify, and/or to get better rates, or is this a policy of the lender?
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Old 02-10-2008, 09:50 PM
 
Location: central, between Pepe's Tacos and Roberto's
2,086 posts, read 6,399,160 times
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Not all lenders require a minimum score for an FHA loan. Some certainly do, the ones that do usually have a floor of 580. FHA rates are what they are. A 700 FICO will not get you a better FHA rate than a 620. If this guy cannot get it done, find someone who can. There are plenty of lenders that can and will manually underwrite an FHA loan.
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Old 02-10-2008, 09:53 PM
 
Location: NC
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And besides, lenders use the middle of all three scores (or the lower of a two-bureau report), so focusing on one bureau won't help.
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Old 02-10-2008, 10:42 PM
 
Location: CNJ/NYC
1,240 posts, read 3,775,149 times
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Quote:
Originally Posted by MS11654 View Post
Which one of the online credit report companies give the most accurate credit score, I've read that two of the credit bureaus gives inflated scores to the consumer, sometimes as much as 30 points or more.

The reason for asking is that my spouse's score is borderline for a FHA loan, according to the loan agent I have been dealing with. The agent stated that they are now starting to require a min. score to qualify for an FHA, and a higher score to get a better rate.

If you want to know what score banks will use just go to a bank and have them check your credit. As far as FHA, there is no minimum score with FHA but some lenders impose minimum scores that they want to deal with and sometimes have pricing adjustments based on how bad the score is.

Quote:
I would like to monitor her score so I know when we can apply without fear of being declined.
You will not be declined for an FHA loan due to a credit score (at least not with my bank) but if the score is low then there better be good extenuating circumstances that led to such low scores.

Quote:
Also does any one know if FHA lenders a requiring a min score to qualify, and/or to get better rates, or is this a policy of the lender?
It's the lender's policy.
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Old 02-10-2008, 10:44 PM
 
Location: CNJ/NYC
1,240 posts, read 3,775,149 times
Reputation: 428
Quote:
Originally Posted by Daddys///M3 View Post
Not all lenders require a minimum score for an FHA loan. Some certainly do, the ones that do usually have a floor of 580. FHA rates are what they are. A 700 FICO will not get you a better FHA rate than a 620. If this guy cannot get it done, find someone who can. There are plenty of lenders that can and will manually underwrite an FHA loan.
Very good point about manual underwriting. Make sure that the bank you deal with has FHA certified underwriters because the majority of FHA cases require manual underwriting. The entire point of FHA is to not just rely on automated approval.
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Old 02-10-2008, 10:57 PM
 
Location: Charlotte, North Carolina
5,137 posts, read 15,680,604 times
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every lender has a different credit score model.
credit score models are like Windows XP and Vista.
Just because Windows came out with Vista...doesnt mean everyone is still using it.

FICO comes out with a new model every 3-4months. Most lenders dont upgrade to the new models for a while. Also, most credit providers will still use older credit scoring models. This is why you will have a different score if you go to 10 different lenders.

I recommend going through a broker who can pull your credit through different lenders....and can find you a lender that will allow scores as low as 400.
You're allowed to have MULTIPLE credit pulls within 30days...and it will only count as 1 credit pull.

Make sure to ask your lender if they do 'manual underwriting'. Not many lenders do manual underwrite, and they also impose credit score minimum guidelines. FHA doesn't have a credit score policy.
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Old 02-11-2008, 08:39 AM
 
Location: Broward County
2,517 posts, read 10,276,274 times
Reputation: 1369
MYFICO.com The best for sure.
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