Once Fannie Mae and Freddie Mac are ready to start accepting VantageScore 4.0, the algorithm will go head-to-head with the less inclusive FICO Classic score for conforming loans
Consumer group claims FHFA's plan to pit VantageScore 4.0 against older FICO Classic score on Fannie, Freddie loans will make 'anti-competitive natures of the credit scoring market even worse'
Loopholes in new law mean credit bureaus will still be able to sell applicants' information to their current lender, servicer or bank — a boon for lenders who also service their own loans
Once selling guides are updated, lenders will have the option of using either VantageScore 4.0 or the Classic FICO scoring model, but FICO Score 10 T remains in limbo, FHFA says
While questions remain about details of the new policy, FHFA Director Bill Pulte says mortgage lenders must still use 'tri-merge' process to obtain scores from all 3 major credit bureaus
The plan to move to a bi-merge process allowing lenders to use 2, instead of 3, credit reports was announced last October by FHFA, Fannie Mae and Freddie Mac's federal regulator
Despite lobbying by mortgage trade groups, 2 previous bills failed to attract cosponsors and died in the House Committee on Financial Services without a second reading
Homebuyers can potentially save $600 to $1,200 a year by applying for a mortgage with multiple lenders, according to a new analysis released Thursday by mortgage giant Freddie Mac
Credit bureaus have 'little incentive to treat consumers fairly when their credit reports have errors,' according to Consumer Financial Protection Bureau, which analyzed 700K complaints