New Alternative Credit Data to Aid More Consumers to Qualify for Home Loans
News from LoanSafe:
(Source: CoreLogic) – CoreLogic® (NYSE: CLGX), a leading provider of information, analytics and business services, today announced the results of a report by CEB TowerGroup analysts that indicates using alternative data, such as unsecured credit, payday lending and property history in consumer credit report analysis, can help safely increase mortgage lending. The report finds that this new data is relevant as consumers have changed their debt payment behavior. As a result, lenders can adjust their credit risk evaluation policies to better assess each applicant.
The report, titled “Enhanced Credit Data and Scoring: Deeper Insight into Mortgage Applicants,” notes that consumers used to pay mortgage debts first, but because of the recent financial crisis some consumers now treat paying other debts, such as credit card bills and car payments, as a higher priority to maintain personal financial liquidity.
“Traditional credit data and analytics continue to be relevant, but are not sufficient to satisfy the consumer credit reformation of today,” said the CEB TowerGroup’s senior research director, Craig Focardi. “As a result of the changes in consumer behavior, lenders cannot revert back to their prior mortgage underwriting policies. Too much damage has already been done to the market, consumers, shareholders and investor…………… continues on LoanSafe
How your credit score is affected by common activities
News from Press of Atlantic City:
Posted: Monday, October 29, 2012 1:00 am | Updated: 4:31 am, Tue Oct 30, 2012.
(BPT) – Managing money wisely: It’s something that everyone is told to do from an early age. From putting pennies in the piggy bank to classroom instruction in how to balance a check book, the message is to spend and save thoughtfully. However, in the real world, those lessons often fall by the wayside due to crunched schedules, unexpected expenses and simple forgetfulness. However, the way you handle – or mishandle – your money from day to day will have an impact on your credit score.
While many people only see their credit scores with their free annual check, a recent white paper by credit score model company VantageScore Solutions points out that roughly 70 percent of credit scores fluctuate by as much as 20 points in a 90-day period. Whether it goes up or down depends on your behaviors.
“When it comes to credit scoring, there are two questions that are most commonly asked by consumers yet rarely understood. These questions are ‘why did my credit score change,’ and, ‘how can I improve my credit score,’” says Barrett Burns, president and…………… continues on Press of Atlantic City
If you want to get a mortgage loan and buy a home, you’ll need a good credit score. In this video, Brandon Cornett (creator of the Home Buying Institute) explains what you can do to raise your credit score fast.