Relevant:
- TransUnion, Equifax broke federal law by misrepresenting credit score usefulness, CFPB says
- FICO Spots Disturbing Trends in Consumer Credit Behavior
- Credit score gaps narrow for FHA loans: Quality Mortgage Services
- The One Number You're Forced to Care About... Your FICO Score
- FICO Speeds Rollout of New Product to Meet Lender Demands
2011-01-10 — mortgagenewsdaily.com
"Mortgage bankers and their Wall Street counterparts have long relied on the FICO score to judge the ‘credit worthiness’ of the borrower. When determining pricing on the sale or purchase of millions of dollars of mortgage loans, quantitative analysts known as tape crackers use the individual credit scores as one of the primary data points considered in their pricing models."
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catherine at 07:35 2011-01-11 said:
there is NO WAY TO UNDERWRITE for what we are going thru. 409,000 lost their jobs LAST WEEK and there are many prime, high score borrowers in that mix....this is different than anytime since the depression. With the lying in unemployment numbers by the government (soon they are going to start counting unemployed who have been jobless for longer than 24 months - those people HAVE BEEN DUMPED FROM THE ROLLS LEAVING a pretty 9.6% NUMBER - SOON WE WILL SEE THE REAL NUMBER) ...............but as we look around at the horrible damage being done there is no way that FAKE number is real. Losing your job 24 months ago is just about how long the banks have let you stay for free - BUT YOU ARE NOT COUNTED AS UNEMPLOYED NOW so many here will just call those people deadbeats because they aren't COUNTING ANYONE OVER 24 MONTHS as unemployed either...... HOW DO YOU UNDERWRITE for a job continuing, how do you underwrite when any medical problem or divorce sends you into foreclosure because you owe more than the house is worth............THAT IS WHAT MAKES THIS DIFFERENT THAN ANYTIME IN THE 30 YEARS I ORIGINATED up until now the house could be sold when those 'life things' happened and even break even was fine, THERE IS NO BREAK EVEN NOW. rent to own, contract for deed, SHOW UP WITH A PAYSTUB AND GET A HOUSE................ we are closer than ever to that now.............and this article proves that THOSE PRIME GUYS ARE FORECLOSING NOW, FINALLY we are seeing that subprime HAD NOTHING TO DO WITH THIS MESS............... they were just the weakest and fell first...........and depended on a good job market, you know the 5.2 unemployment we had in 2007 I find it hard to understand why we are still writing mortgages on falling collateral and rising unemployment (tell those 409,000 that good news, the rate :roll: :roll: went DOWN) and still securitizing it........ BUTTS IN HOUSES BUTTS IN HOUSES BUTTS IN HOUSES. Permalinkadd a comment | go to forum thread
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