Derek McGowan explains how VantageScore differs from FICO: it ignores medical debt, rewards rent and utility payments, and often scores 70 points higher. That gap could help you qualify for a mortgage you might not get with FICO alone.
If buying or refinancing a home and your credit score are important to you, you'll wanna listen to this. So traditionally it always used to be focused on the FICO credit score when it comes to mortgage lending. They've been a little slow to evolve and that's opened the need for extra options and competition. And enter in the chat, the VantageScore. So between the two, let's say you have medical collections. Vantage doesn't hit you for it, FICO does. If you have paid your balance on non-medical collections, Vantage doesn't hit you for it anymore, FICO still does. If you paid your rent utilities on time, you get credit for that on Vantage, you don't get credit for that on FICO. And if you have newer, less established credit, you have a much higher likelihood to have a better VantageScore. We've seen as big of a spread 70 points between the two. So just imagine the buying opportunities that opens up. Currently, this is just for conventional and VA full financing and FHA refinances, but a little birdie told me FHA purchases are coming soon. So I'll keep my eyes on that. You wanna take advantage of your advantage, reach out today.
