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Moderator Emeritus
llecs
Posts: 32,880
Registered: ‎08-04-2007

Re: Lenders see different scores than consumers do


kasage00 wrote:

I have a 770 EQ score but my TU and EX are around 600. I disputed  collection account on EX and got it deleted but it did not change my score any. I got all negative items offEQ but not off TU or EX (which is why my EQ is so much higher.) on TU and EX I have some negative items such as charged off credit cards that are about 3 years old. My only active account is my current mortgage and my student loan. I was never late with either one. I am seeking a HARP loan (I meet all the guidelines). Would my clean EQ score override the other two bad scores?


Your lender will still look at all 3 FICOs and factor in the middle of the 3.

New Visitor
Adishree
Posts: 1
Registered: ‎01-08-2014

Re: Lenders see different scores than consumers do

Hi OKP,

 

Lender use the equifax score for consumer loans, and the middle of three scores for mortgage loans. Maybe that is the missing link in your ordeal. Make sure you know your equifax score as well.

Member
kimfl
Posts: 17
Registered: ‎08-07-2012

Re: Lenders see different scores than consumers do

Not all lenders use the middle score; one lender I spoke to used a FICO score, another one used the middle of the three. If our scores matched what the lenders see, and if all lenders used the same criteria, it would be so much easier for consumers.

Moderator
Revelate
Posts: 6,874
Registered: ‎12-30-2011

Re: Lenders see different scores than consumers do


kimfl wrote:

Not all lenders use the middle score; one lender I spoke to used a FICO score, another one used the middle of the three. If our scores matched what the lenders see, and if all lenders used the same criteria, it would be so much easier for consumers.


Mortgage lenders at least for conventional do indeed use the middle score: it's effectively mandated to do so in order to bundle the loans off to Fannie/Freddie.  AFAIK FHA is similar though for no required reason and non-traiditional can qualify there.

 

Outside of those cases in mortgage market though, you're absolutely right that different lenders can do whatever they want.


Starting Score: EQ 561, TU 567, EX 599* (12/30/11, EX lender pull 12/29/11)
Current Score: EQ 672, Wally TU 686, EX 702 (04/14)
Goal Score: 700 in all three (01/01/15)


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