The Fair Isaac Corporation has announced that by the end of 2020 their new credit scoring method will be available for use by lenders.
Reports are that about 40 million Americans will see their credit scores rise by 20 points or more, while another 40 million will see their scores drop by 20 points or more. High scores will go up and low scores will go down.
If you’ve been working to bring your credit up from the low side, that’s scary.
But there IS good news with regard to your Pittsburg home buying plans.
It’s doubtful that mortgage lenders will begin using FICO 10, at least not in the near future. WHY? Because most have not switched to FICO 8 or FICO 9. Most prefer what is referred to as FICO’s “classic” scoring method.
Still, since you may want other credit in the future, it’s a good idea to pay attention to the new scoring method.