Triangle Business Today

Credit Scores - Their Role in Today's Mortgage Decisions...

Posted July 7, 2008

What role does your credit score play in the mortgage process today? The credit changes which have occurred over the past eighteen months or so have made your credit score even more important when having an underwriting decision made regarding your credit worthiness in the mortgage market…

First of all – what IS a credit score? And more importantly – what is YOUR credit score? How is it calculated – who has access to it? The general rule of thumb is that as a consumer, you should check your credit report at least once a year – to make certain that no one else is attempting to obtain credit in your name, as well as to keep track of where your credit score lies… so you’ll know your score when attempting to purchase products and services which require credit scores.

The three main credit repositories are Experian, Equifax and Trans Union. Each of which feeds an individual score into a database which is then used by the mortgage industry when determining your credit worthiness as a borrower. With minimum credit score standards increasing daily for certain mortgage loan types, it’s imperative to not only know your scores – but to be doing everything you can to increase those scores on a regular basis.

You should be able to obtain your credit score free of charge by contacting one of the above mentioned credit repositories. I would highly recommend doing so at least once a year.

Jeremy M. Salemson
Corporate Investors Mortgage Group, Inc.


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  • TheWaveLife Jul 8, 2008
    It's the only website recommended by the FTC to get your free annual credit reports. It's a website created by the 3 credit companies to keep people away from scam sites. Important detail.

  • Pseudonym Jul 8, 2008

    One more thing: It is FEDERAL LAW that consumers have the right to view their credit scores from each of the 3 major credit bureaus once a year, and you don't mention that.

  • Pseudonym Jul 8, 2008

    How about doing some actual work and manually underwrite a mortgage? What you're telling people to do is go into debt to improve their credit score so they have the opportunity to go into further debt.

  • parr4246 Jul 7, 2008

    hazeyc.........."I think the credit repositories only give you your report without the score. They want you to buy the score part of the report."

    you are correct, all three of the major bureaus will give you the report once a year for free, but you have to pay to get the credit score.

  • hazeyc Jul 7, 2008

    I think the credit repositories only give you your report without the score. They want you to buy the score part of the report.

About this Blog:

Jeremy Salemson, CEO of Corporate Investors Mortgage Group, blogs about economic trends and data and their impact on Triangle business. Each week, he interviews a Triangle-area business leader for a personal look at the local economy.