Fannie Mae Tightens Loan Criteria for Credit Scores

RE:Fannie Mae Tightens Loan Criteria for Credit Scores

John — Sun, 20 Apr 2008 11:00:00 GMT

The government should stay out of things entirely if you ask me. Did you hear Fannie is removing it's portfolio cap entirely come March?! Standard and Poors thinks GSEs are posing a risk to the United States' AAA credit rating!

RE:Fannie Mae Tightens Loan Criteria for Credit Scores

Jessica Fallon — Wed, 09 Apr 2008 11:00:00 GMT

Larry RubinoffGovernment's unwillingness to enforce necessary regulations is what brought us to this point. No one in this administration or the preceding 20 years was willing to acknowledge that value cannot be created out of thin air and then sold to unsuspecting customers. When things turn down, everyone rings their hands. Historically it has been necessary to protect the small investor from the rapaciousness of big investors, banks, savings and loans, highly-leveraged corporations. GREED has driven Wall Street to the wall, again, to join Humpty Dumpty.

RE:Fannie Mae Tightens Loan Criteria for Credit Scores

Douglas M. Thomson Sr. — Fri, 04 Apr 2008 11:00:00 GMT

I am sick of this Mortgage mess. All I hear from the lender is false promises and more delays. I don't know anyone who has had there loan modified. Everyone I have asked was forclosed on or walked away from the house. Has anyone out there had there loan modified by Countrywide Bank? If you did please let me know. Every one says to walk away from the home. If I do that I will not qualify for a mortgage for several years. Even though the house is upside down $70,000.00. I still could not afford to move and pay $2000.00 a month for the same type home I am buying now. A lender recently said that the subprime interest rates tied to the MTA will continue to fall for 12 months and that is good for me because this month my interest rate dropped 0.282 just under 7%. It should continue to drop an average of 0.250 every month for 12 more months. If your current rate is 7% this month in 4 months it should be @ 6% and in 8 months @ 5% in 12 months down to 4%. I bet that when it hits 5% Lenders will be making all types of offers to lock you in at a 6% fixed rate loan. Don't do it stick to 5% with no fees. If they don't agree then go to another lender. There will be plenty of great opportunities comming up soon. Fannie and Freddie are not the only game in town. Once investors see affordable interest rate come down. These same investors will be aksing the people that stuck it out and kept making their payments to refi with them. The risk of a forclosure is very low with these people and the investors know it. The lenders would be wise to negotiate now before its to late. History shows us just how gready lenders are. This time they are going to loose even more. Citizens will not stand for there BS. Don't take my word for this just watch and see. In about 6 months the lenders will be screaming at the FEDS for more bail out money. The FEDS would be complete idiots if they give them more money this time. Maybe this time they will actually modify their loans or they will Bankrupt themselves. Countrywide received billions and all they did was slap the American people in the face. They didn't lower mortgage interest rates or modify loans. They have continued to raise rates and play games with their Loss Midigation and Loan Negotiation staff. Show me 1 loan modification and I will show you 100 forclosures today. In 6 months it will be a DIFFERNT STORY !

RE:Fannie Mae Tightens Loan Criteria for Credit Scores

Mary — Fri, 04 Apr 2008 11:00:00 GMT

What is this credit situation that let's every credit granting company use it's own scoring model on the credit score that is obtained from the credit reporting agencies? If each company has its own scoring model why do we need the credit reporting agencies? Why not destroy credit agency each company can determine what score it wish to use in granting credit to consumers any way? Its a waste of time and engeny to wait for the credit agency to generate a score and the credit you are requesting can be denied by the company if it so desire at it's wish. I see these actions as a waste of credit prudent and another way somebody to take money from every consumer. Why have laws if they are broken by business everyday actions. Might as well let Emron still exist, business owners can make up their own rules and policies anyway. And that is what Emron was doing and that is what the credit system is still doing. But who am I this country can tell who it pleases what is right and wrong, Jim Crow is still much alive, in credit, politic, religion, and any walk of life one decides on any turn?

RE:Fannie Mae Tightens Loan Criteria for Credit Scores

Larry Rubinoff-TheMortgageCorner — Thu, 03 Apr 2008 11:00:00 GMT

The government MUST stay out of this. They tend to make matters worse. Fannie and Freddie have no answers and yes, they, as their private/public counterparts do, protect themselves, their executives, their salaries and the stockholders (maybe). The government: 30 Billion Dollars to JP Morgan to steal a deal? Come on now, who is that helping, the homeowner/borrower? Fannie/Freddie: Higher loan limits! Only to a select few in a select few areas. I guess if you don't live in one of those few areas (DC one of them) you shoulc not be able to get a loan over 417K at more reasonable rates. Moral: If you live in undervalued areas you have no business getting a larger mortgage. There is an old saying, "if it is to be it is up to me". Wake up America, wake up mortgage industry, we need to wake up the bank executives/corporate America. They hold all the marbles....maybe give some back.

RE:Fannie Mae Tightens Loan Criteria for Credit Scores

Helen — Thu, 03 Apr 2008 11:00:00 GMT

why is Fannie Mae playing these games with a 580 mid-score when they know that the client will not be able ot even qualify for mortgage insurance. Are those requirements being relaxed also for the homeowner who is in trouble. Because I have had several and they cannot qualify for MI.

RE:Fannie Mae Tightens Loan Criteria for Credit Scores

Tim Rogge — Thu, 03 Apr 2008 11:00:00 GMT

"Protect the borrowers"....is that what they call the FAT price hits they are doling even to good borrowers based on credit scores????