Why don't LENDERS give you the FICO rate for mortgages - I have excellent credit!!

[Anonymous]

I purchased my home a year and a half ago and couldn't find ANY lender that would give the rate that FICO says is the rate for FL, and I have excellent credit. Now I want to sell my home and would like to be able to let a potential buyer know if there is a way to get that great rate. So my question is, why with excellent credit can't we find that low rate that FICO says is for our area?

[gary4872]

I'm not a mortgage expert but I'll give this one a shot-

The rates you see online are estimates and/or best available rates that may be from national lenders that you haven't found. Of course, other things than FICO can affect your rate, such as income, LTV and your particular market.

[Anonymous]

I understand that the LTV and income would be a factor in getting a good rate, but my husband made a large income and the income to debt ratio was not a factor, never a late payment or bad marks on our credit report since we were 18 and we are in our mid 40's. I think the banks / lenders tack on an extra percent to make a bigger profit. I think the only reason they will not give the FICO rate is pure greed. Yep, I'm a little bitter lol. But you see all these commercials for say a car or other loan and you get say zero percent financing for "WELL QUALIFIED BUYERS", how much more qualified can you get when your credit score is 780, your income is twice the national average and you have no debts other than about $5,000. in credit card debt which when you make that kind of money that's not a big deal. Just pure greed I think. Thanks for your answer, Joanne

[DallasLoanGuy]

the fico rates have been debunked here more than once.

and while loan officer indeed markup their wholesale rates and offer you a retail rate, they cant go nuts or they wouldnt be competitive. all lenders do this. brokers, bankers and even direct national lenders.

where on fico do they quote rates?

what did it say you could get?

what were you offeredby a real lender?

[Anonymous]

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DallasLoanGuy wrote:

the fico rates have been debunked here more than once.

and while loan officer indeed markup their wholesale rates and offer you a retail rate, they cant go nuts or they wouldnt be competitive. all lenders do this. brokers, bankers and even direct national lenders.

where on fico do they quote rates?

what did it say you could get?

what were you offeredby a real lender?

---

I may be wrong but they might be referrng to scorewatch. When you get a update theres a tab you can click on that says "What your score means to You" It lists the average loan rates for people with your score.  Sorry the website jumbled this all together after I went to hit the submit button

A good FICO® score can qualify you for cheaper interest rates on all kinds of loans. Shown here are the average interest rates now offered to consumers with your FICO® score. The interest rate you can receive may differ, however, because lenders look at other factors besides your score when deciding your interest rate.

A better FICO® score can result in huge savings on a new loan. t:

Take the example of borrowing $200,000 on a 30-year mortgage. If your score dropped from 767 to 510, you would pay $608 more each month in interest.

30 year mortgage   Score Rate 760- 850 6.176%   700- 759 6.398%   680- 699 6.575%   660- 679 6.789%   640- 659 7.219%   620- 639 7.765%   600- 619 9.159%   580- 599 9.744%   550- 579 10.118%   500- 549 10.503%

15 year home equity loan   Score Rate 740- 850 7.789%   720- 739 8.089%   700- 719 8.589%   670- 699 9.364%   640- 669 10.864%   620- 639 12.114%

48 month auto loan   Score Rate 720- 850 6.373%   690- 719 7.321%   660- 689 8.861%   620- 659 10.709%   590- 619 14.092%   500- 589 14.958%

Other average rates based on your FICO® score of: 767 Home equity line of credit (under $50,000) 5.666% Home equity line of credit (over $50,000) 5.373% 30 year jumbo mortgage 6.176% 10 year home equity loan 7.659% 15 year mortgage 5.786% 15 year jumbo mortgage 5.786% 1/1 ARM 5.403% 1/1 jumbo ARM 5.403% 3/1 ARM 5.441% 3/1 jumbo ARM 5.441% 5/1 ARM 5.512% 5/1 jumbo ARM 5.512% 7/1 ARM 5.626% 7/1 jumbo ARM 5.626% 10/1 ARM 5.961% 10/1 jumbo ARM 6.518% 36 month auto loan 6.364% 48 month used auto loan 6.617% 60 month auto loan 6.404%    Accurate as of June 26, 2008. Source: Informa Research Services

[DallasLoanGuy]

ah, i see it now.

that data is based on an industry avg from when someone updated th website. i HIGHLY doubt that fico is getting daily updates on rates and updating scorewatch.

scrabble, tell us what the ltv is and what rate you were offered. i will tell you if it is competitive or not and i will even tell you how much the rate is 'jacked up' and what the lender is kicking back to the loan officer or that higher rate.

THEN, i think that this will all make sense.

[mborgens]

Do you remember what was listed on myFico and the rate you received? I am getting closer to buying a second home and can only imagine the conversation I would have had.