Landlords Dance The FICO Fandango

Fair Isaac Corporation is the Godhead of the FICO
credit score that is used today by most lenders to
measure consumer credit risk. FICO scores range
from a poor credit low of 500 to a best credit rating
of 850.

The higher the FICO score the lower the interest rates
offered by most lenders. For illustration here is a look
at how FICO scores might impact a $150,000 30-year,
fixed rate loan:

Score Interest Payment

720-850 5.64% $865

700-719 5.77% $877

675-699 6.30% $929

620-674 7.45% $1,044

560-619 8.53% $1,157

500-559 9.29% $1,238

Rates change frequently, but you can check the daily
average at myfico.com.

Fair Isaac have extended its FICO score to cover an
expanded population base. This expanded FICO coverage
will tap into non-traditional sources of consumer data
to measure the credit hazard of grownups who have got minimal
or no credit history on data file - such as as recent
immigrants, people with low incomes, recent widow women
and divorcees, and immature people.

The company have tapped into non conventional ways of
establishing credit scores. People pay rent, they
pay catalogue companies when they order something,
they pay back payday loans -- there are assorted ways
people demo financial duty and Carnival Isaac
will now be assemblage that information to assist
determine FICO scores.

An estimated 160 million Americans have got documented
credit histories adequate for calculating classic
FICO credit scores. An estimated 50 million
consumers make not. Now that volition change.

For existent estate investors and landlords this agency
that we should be able to happen a few more than credit
worthy buyers and tenants than in the past.

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