FHA minumum 660 now?

Guest

Have banks really raised the minimum credit score to 660? I just got off the phone with a broker who ran my credit. My middle score is above 620 but not 660. He told me that lenders have now raised minimum credit scores for FHA to 660 due to FHA foreclosures. Is this correct?

Thanks,

Confused

shane · Posted: Fri Oct 09, 2009 3:21 pm Post subject:

Some lenders have different credit score requirements for FHA. As you might be aware, currently FHA doesn't require you have a certain score but lenders impose their own requirements. 660 is the current industry standard for an FHA Jumbo loan amount (over $417k), however 620 is still the norm for FHA with $417k and under loan amounts, some lenders have increased theirs to 640 and a few have gone up to 660, but still plenty of lenders who accept 620 and even a few that go down to 580.

sunnyca2009 · Joined: 04 Aug 2009 Posts: 1735 35.94 Dollars($)

Thats correct FHA requirment is 620 for loans under 417k

leeelliot61 · Joined: 13 Sep 2009 Posts: 188 -0.07 Dollars($)

620 is the minimum credit score required by most lenders,but its correct that many are now requiring a 660 minimum credit score.

dollylee9 · Joined: 19 Jul 2009 Posts: 63 -0.18 Dollars($)

Ask your lender about the details.
Though the minimum score required is 620.

You should check the documnetation part and disscuss it with lender ask him the reason why he is insisting for the 660 credit score. check wheather there is any specific reason behind it.

Or just check your credit score again is there any mistake in score. Or both way communicaton gap can arise such issues. So i will suggest you to see the matter personally with contacting lender.

Guest

Thanks for all the answers. Dolly, I contacted the mortgage broker yesterday and was told the reason had to do with the upsurge in late payments and defaults with FHA loans. I would understand if he was requesting a higher score this due to issues with my income or DTI but he positioned the conversation in a way that leads me to believe that ALL lenders are requesting 660 across the board! As well, he has my middle score at 30-50 points lower than where it should be (Experian). Unfortunately, there's no way to check this as Experian is no longer allowing consumers to check their FICO's. Should I just go with a different company or am I just reaching?

sunnyca2009 · Joined: 04 Aug 2009 Posts: 1735 35.94 Dollars($)

If the lender already run yoru credit check, you have th right to request a copy ofyour credit report fromthe credit agency. This is what the goverment rules define

kas_mah80 · Joined: 06 Sep 2009 Posts: 31 -0.11 Dollars($)

hi,
i suggest you talk with your lender ,he will guide you verywell and fha min is 620 but thats not wrong that the fha requirements 660 some lenders mostly requieres 660,

theofaulhaber

The minimum credit score requirement is 550. Depending on the lender/broker, some have increased there credit requirement due to there investor guidelines. Do your due dilligence, there are still many out there that can lend on 620 or below.

Guest

Lenders my impose their own rules, ours is currently 600 for both refinances and purchases. Just goes to show to shop around as not all mortgages are created equal.

sunnyca2009 · Joined: 04 Aug 2009 Posts: 1735 35.94 Dollars($)

There are some lenders who can give loan for people with low credit score

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