Interesting twist on credit scoring for buying a home.
Equifax Inc. (EFX.N: Quote, Profile, Research), Experian and TransUnion LLC, a unit of Britain’s GUS Plc (GUS.L: Quote, Profile, Research), in a statement said they adopted the “VantageScore” in response to “market demand for a more consistent and objective approach to credit scoring.” In the past, the agencies used their own formulas to gauge credit-worthiness. This created the possibility of widely varying scores, which could complicate consumers’ ability to obtain credit cards, auto loans, mortgages or other financing. Many lenders now use “FICO” scores, named for Fair Isaac Corp. (FIC.N: Quote, Profile, Research), which developed software used to generate them. The VantageScores will range from 501 to 990, compared with the current 350 to 850 range. Higher scores will still indicate greater levels of credit-worthiness, possibly leading to lower interest rates and better borrowing terms. via Reuters.com
Jeffrey
IonHomeInspection.com
Katy, Houston, Sugar Land
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