Welcome to Home Mortgages
Home Loan Mortgage Refinancing Article
This is a selection made from among articles on Home Loan Mortgage Refinancing. For a permanent link to this article, or to bookmark it for future reading, click here.
FICO Score 101 - what does your FICO score mean to you
from: Delia GalleyFICO stands for "Fair Issac Corporation," the company that invented the FICO scoring system. Your FICO score is a number generated by one of the three Credit Report Agencies (Equifax, TransUnion or Experian) based on your credit history. This number helps lenders to predict how likely you are to pay your loans on time in the future. A FICO score will range between 300 to 850. The higher your score, the less risk you represent to a lender. Generally, FICO scores below 600 indicate a higher risk to creditors and could cause a lender to charge you a much higher interest rate or turn you down for a loan. According to the Fair Issacs Corporation, approximately 14% of credit worthiness Americans have a FICO score of below 600. This example illustrates how a FICO score can affect "real" life experiences.
Bob has a FICO score of 600 and applies for a home mortgage loan. Mary also applies for a home mortgage loan and has a FICO score of 720. According to the Fair Issacs corporation, Bob would likely get an interest rate of 8.531%, while Mary would get an interest rate of 5.702%. On a $300,000 mortgage loan, Bob's monthly payment (principal and interest) would be $2,313 while Mary's monthly mortgage would be $1,742 - a whooping difference of $571. I don't about you but I could surely use an extra $571 in my bank account at the end of the month.
What goes into my FICO Score?
Payment History - 35% of score.
* Did you pay your bills on time?
* Does your file reflect a bankruptcy, lien, wage garnishment, collections, delinquent accounts?
* How many past due/delinquent accounts do you have?
* How severe is the delinquency (30, 60, 90 days... past due)?
* How long has it been since the accounts were delinquent?
Amount owed - 30% of score.
* How much is owed on your accounts?
* How many of your credit lines are being used?
Length of Credit History - 15% of score.
* How long have your accounts been opened?
* How active are the accounts?
New Credit - 10% of score.
* What new accounts have been opened and what types are they?
* How many recent inquiries have been made against your credit?
* Is there evidence of re-establishment of positive credit?
Type of Credit - 20% of score.
* What is the number of the various accounts (major credit cards, retail cards, mortgage, equity lines of credit, etc)
What does NOT go into your FICO Score?
* Race, color, religion, national origin, sex, marital status
* Age
* Salary, occupation, title, employer, date employed
* Place of residence
* Requests that you have made for your credit report, pre-approvals, employer inquiries
* Whether or not you are participating in credit counseling.
The author is the owner of the information-rich website www.poorcreditgenie.com. The website offers free advice on how to rebuild credit and manage debt. The site also features numerous articles and news stories on credit report, credit cards and bankruptcy.
About the Author
The author is the owner of the information-rich website http://www.poorcreditgenie.com. The website offers free advice on how to rebuild credit and manage debt. The site also features numerous articles and news stories on credit report, credit cards and bankruptcy.
Home Loan Mortgage Refinancing Specific links
Home Loan Mortgage Refinancing News
Mortgage application, refinance volume surge - Syracuse Post-Standard
Refinance volume more than tripled, while purchase volume increased 38 percent during the week. Refinance volume accounted for 69.1 percent of all applications, up from 49.3 percent the previous week. The index peaked at 1,856.7 during the week ...
Read more...Mortgage applications more than double - CNN Money
NEW YORK (CNNMoney.com) -- Mortgage applications more than doubled last week, a mortgage bankers' group said Wednesday, as government bailouts led to sinking interest rates that made refinancing especially more attractive. In the weekly report, the ...
Read more...Wells Fargo Disputes State of Washington’s Claims - Businesswire.com
SAN FRANCISCO--( BUSINESS WIRE )--Wells Fargo & Company (NYSE:WFC) said today it disputes the claims made by the Washington State Department of Financial Institutions (DFI) against the Company for its participation in the auction rate securities (ARS ...
Read more...Home Loan Fraud Still Rising; Florida Leads Nation - HispanicBusiness.com
Despite more stringent underwriting of mortgages in the wake of record foreclosures, lenders continued to battle home loan fraud during the second quarter of the year, with Florida borrowers again submitting more questionable loan applications than ...
Read more...Paulson Considers New Plan to Lower Mortgage Rates (Update2) - Bloomberg
Dec. 3 (Bloomberg) -- Treasury Secretary Henry Paulson is considering a new plan to lower mortgage rates in an effort to resuscitate the U.S. housing market, a government official said. The Treasury, which already has a program to buy mortgage ...
Read more...Home owners and Brokers: Modpro Provides Workable Mortgage Loan ... - WebWire
In today’s climate of economic stress, home owners facing the prospect of foreclosure need real and viable solutions. Modpro offers homeowners workable loan modification solutions when the original mortgage has become unmanageable. When a more ...
Read more...Mortgage-rate drop may spur home purchases, refinancing - AZCentral.com
Valley residents waiting for the right time to buy a home or refinance their mortgage received a nice holiday gift from the federal government this week. The Federal Reserve's announcement Tuesday that it would spend $600 billion to buy up mortgage ...
Read more...U.S. Consumer Loan Aid Will Only Trickle So Far - Free Internet Press
If you’re buying a home, refinancing a mortgage or seeking an auto or student loan, the new government plans to make borrowing cheaper and easier sound like a gift. One problem, however, is that whole categories of people may be ineligible. If you ...
Read more...Mortgage Video Gallery - CNBC
The Treasury Department is considering a plan to boost the depressed housing market by easing mortgage rates on new home loans. The plan, which is in the development stages, would bring loan rates down as low as 4.5%, a full percentage point lower ...
Read more...Fixed-rate trap snares 43,000 home owners - Sydney Morning Herald
Like all gambles there are winners and losers, says Chris Zinn from Choice. MORE than 40,000 unlucky people have been caught out in a fixed mortgage rate trap, having taken out their loan at the highest fixed interest rates in a decade, denied any ...
Read more...