FICO or salary,which one decides "borrower"?

[COLOANHound]

There are a lot of things you can do to get an extra couply points. Easiest would be to have them extend a limit on a CC or make a payment and pull credit again at the first of the next month. Or request a quick fix from whoever you use for credit pulls. They can make a significant payment, show proof and you submit it to your credit company. Response is 5-9 business days. I've had success with quick fix in the past, doesn't take as long, but it costs $30 per line per bureau. Probably the way to go if you only need the two points in a short period of time. Not always a shoe in to change the score though and your out the $$.

[Greg]

but most A paper it is the primary wage earners FICO that will be used.

Actually most A paper lenders use DU or LP which considers both FICO scores collectively. Conforming lending has hit's for level approvals rather than FICO. (I am sure you likely meant A paper's Alt-A programs though)

www.optoutprescreen.com is "supposed" to improve a score 7-10 points after completed and after 5 days from the date it is completed. I have yet to verify the validity of this information but just did it myself and am going to check in 2 more days.

A bank statement program may allow you to use the other score. For example New Century does not collect W2's on Bank Statements. If the borrowers income is direct deposit and it shows the employers name it may be hard to prove that the higher score borrower should be used for pricing and LTV.

[The Wizard]

I would try the raising of a credit limit, it is your best shot. Without having to have the client put out any additional monies. Yet as stated before there is no guarantee it will work.

I have done that in the past and it has in the past worked.

Greg, you are speaking of conforming only which if you do read their guidelines most state which FICO they will use. When I wrote that I was thinking about A paper conforming and Jumbos.

[Greg]

I am employed by a conforming lender and can broker to them too.

Only Expanded and Stated may have fico restrictions. All else is ran through DU and you are correct in saying some choose to do FICO restrictions to protect themselves from defaulting loans.

Sorry I should have been more clear. Going too fast. My appologies

Most of the major conforming lenders do not though.

[Greg]

Be aware that increasing the credit limit may also decrease the score because the total amount of potential revolving debt would increase. Per CE

The credit bureau scorecards for FICO all trigger at equal to or greater than 30% of the credit limit utilized. (Balances in relation to credit limit too high) Per CE.

[World Savings AE]

That would depend on your lender. We can do either, and we have no hit to the rate or penalty against the broker for FICO's - while we're at it, I have no adjustments for Stated Income, Stated Assets, waiving escrow, and many other things...


Larry Koser
National Account Representative

[Greg]

Another reason World Savings is a must have in your primary lender search.

They are not just the "Option Arm Guru" They have all kinds of great products.