What do you think of the new system of scoring that just came out and will it change anything?

I don't know. There really wasn't enough information provided to come to any decisive conclusion. Obviously they aren't going to reveal the changes in the algorithmic system. It will be interesting to see. Good topic, Super.

I wonder if it will actually change things very much. Currently with the middle score lenders it seems the local credit bureau shows the small collections like medical, and things of that nature. I usually expect the local to have the lowest of 3 scores. I am not sure how it will affect the scores possitive or negative. Is it supposed to be a unified score between the 3 bureaus or is it just supposed to close the gap between all 3's scores? You know how you can have a borrower with a 520, 615, and a 630 score. Will it actually eliminate the gap?

FANNIE MAE: At this time, we have no plans to switch to this new score for our credit evaluation purposes. The credit repositories are just beginning to talk with us and other industry participants about the new credit score, so it is too early to speculate about what we may do. However, we will work with the repositories and our industry partners to test the effectiveness and predictive ability of the score. Finally, please note that Desktop Underwriter's credit assessment is based on a proprietary Fannie Mae model, not on FICO scores

FREDDIE MAC: At this time, Freddie Mac has no immediate comment on the use of the VantageScore credit scoring methodology. As we learn more details from the repositories, we’ll determine our next steps, as appropriate. We presently do not have any plans to use VantageScore in Loan Prospector or anticipate any changes to Loan Prospector based upon the availability of VantageScore.

This is what I got from a member on another thread. He just asked each company.

I doubt this new scoring model will come into play anytime soon. Convincing the lenders will be the hard part.IMO

this new scoring system is more of the same old business as usual. They shift the scores from 350 being the lowest to 501 being the lowest and also raise the cap from 850 to 990. The biggest thing they are doing is all going to the same scoring system so that the only reason there will be a variance in score is if they have different information in their files (which they all do). Most lenders have adopted a wait and see philosophy to this new system. My money is on the old system staying the model of choice for lenders. Nothing is as accurate as FICO's scoring model.