On August 12, 2019, the Federal Housing Finance Agency (FHFA) ruled that Fannie Mae and Freddie Mac are now required to consider alternative credit scoring models – such as VantageScore – to determine if a mortgage loan candidate qualifies for a loan and at what rate.
With this new ruling in place, there now is a viable pathway for VantageScore and other new and innovative model developers to compete and elevate the predictiveness and inclusivity of credit scoring models required by the two GSEs. Competition is critical for markets to operate efficiently and we are confident this decision will benefit consumers, lenders and the economy at-large.
You can read more about it in our NEWS SECTION. In the coming weeks, we also will be sharing more information on the ruling and what it means for you. In the meantime, should you have any questions, please contact us at: email@example.com.