08/26/2026
The credit scoring models used for mortgage lending are changing.
For decades, conventional mortgage lending through Fannie Mae and Freddie Mac has primarily relied on the older Classic FICO scoring models.
That is beginning to change.
Approved lenders can now use VantageScore 4.0 on eligible loans delivered to Fannie Mae and Freddie Mac, while Classic FICO remains available. FICO 10T has also been approved for future implementation.
Why should Realtors and mortgage professionals care?
Because different credit scoring models can evaluate the same consumer credit report differently.
Newer models may consider things such as:
Payment patterns differently than older scoring models
More recent credit behavior
Certain rental payment history when available
Different aspects of balances, utilization, and account history
That means the credit score a consumer sees through a credit monitoring app may not necessarily be the score, or even the scoring model, used when they’re applying for a mortgage.
The bigger takeaway:
If you have a buyer who is borderline on credit, don’t wait until they’re under contract to find out where they stand.
At Texas Consumer Credit, we work with buyers who need help identifying and addressing credit-related obstacles before they become a problem during the mortgage process.
