Rapid Rescore Your Credit Report for Loan Approval - Part Deux

Mortgage and Lending with NMLS# 335055 335055


Rapid Rescore Your Credit Report for Loan Approval    


I wrote an article in July of 2009 that still gets tons of search engine hits…. Yet, it is still very misunderstood.  Rapid Rescore Your Credit Report for Loan Approval

Well, let’s go ahead and get this out right away….. It is a dangerous tool in the hands of a poor loan officer; that is for sure. But in the hands of the right Mortgage Loan Officer, it can be very valuable

Rapid rescoring a credit report is a tool that has been around for a while. I have used it since 2004 when I entered the mortgage lending business. I have a strong background in credit scoring and know that credit repair/correcting can cause more harm than good. I also know that taking the time to run a score simulator first is key to not messing up!! But if you have ½ of your credit report littered with collections….. Uh, well, please don’t even try. You are setting yourself up for disappointment.

Some facts:

Although considered a ‘gray area’ of RESPA by some…… I have yet to find anyone in the credit reporting business that does not consider it a violation of RESPA to charge for a rapid rescore. Now, this isn’t cheap…. I have spent upwards of a few hundred dollars on these things. A gamble for sure, but I entered into it with full knowledge that I could NOT recoup my expenses.

Why can I not charge for Rapid Rescore? RESPA considers it an ‘Unearned Fee’. Basically, I would be charging my client for something that they can do for themselves…. For free.

Another fact: A client can save THOUSAND$ of dollars over the life of their loan if they are able to utilize the Rapid Rescore to put their 690 credit score over 700 or better yet, over 720.
TODAY: Fannie Mae has risked based pricing…. And I have to charge higher rates for lower scores. Don’t be that guy….. Get to a lender who can offer a true Mortgage Loan Consultation and find out all of your options.


Tom Burris

Dallas, TX

Dallas Loan Guy      logo

I write about Texas Home Loans , live in the Dallas, TX area and lend across the entire Great State of Texas!!

Your Texas FHA Expert and Dallas Mortgage Expert.


Texas FHA Loans- DallasLoanGuy



Comments (5)

Pamela Seley
West Coast Realty Division - Murrieta, CA
Residential Real Estate Agent serving SW RivCo CA

Tom, good post and great information.  I was not aware of the RESPA violation.  Thanks,

Sep 19, 2010 05:42 PM
Gabrielle Nemes
RE/MAX Realty South - Tumwater, WA
206.300.8421, S King & Pierce County RE Advocate

I didn't realize this was an expensive process, nor did I realize that recouping your costs for your service in this way was a RESPA violation. Thanks for the info!

Sep 19, 2010 05:50 PM
Tom Burris
NMLS# 335055 - Baton Rouge, LA
Texas/Louisiana Mortgage Pro - 13 YRS Experience


$30 per line item, per bureau.

So if we need to update an account on all 3 reporting agencies.... that is $90 per account.

We(lenders) use a service to pull our reports.... we do not go direct to Experian, Equifax and Transunion.

Places like: Credco, Kroll Factual Data, Acranet, ect.

I have yet to find one of these services that do not consider charging for this service as a violation. But, sadly, MANY loan officers don't know or don't care and they charge.

Buyers/Borrowers should educate themselves. And their Realtors need to know this info too if they intend to protect their clients.



Sep 19, 2010 06:13 PM
Lawrence Jones

Hi Tom,
In light of the 2012 Supreme Court decision and the era of the CFPB, can you update whether or not the prevailing opinion is still that the re-score fee is "unearned"?
good info here, thanks!

Jun 16, 2015 06:49 AM
Tom Burris
NMLS# 335055 - Baton Rouge, LA
Texas/Louisiana Mortgage Pro - 13 YRS Experience

The prevailing opinion is that rapid rescore fees are unearned. That hasn't changed.
Surprised the CFPB hasn't cracked down on it. It would be easy to prove and be a great income for the CFPB with all of the fines.


Jun 27, 2015 12:17 AM

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?