|Topics and Issues||
Credit scores (3)
In July 2010, the U.S. Department of Housing and Urban Development (HUD) and the Federal Housing Administration (FHA) issued a notice on FHA Risk Management Initiatives: Reduction of Seller Concessions and New Loan-to-Value and Credit Score Requirements. CDIA filed a comment in connection with that notice. CDIA’s comment makes three points: (1) CDIA is pleased that the Federal Housing Administration (FHA) intends to consider the use of non-FICO scores; (2) CDIA remains concerned that the proposal is unnecessarily biased in favor of FICO; and (3) FHA’s invitation for additional scoring information from other models needs more time than that allotted in the Federal Register notice.