Here's How Folks Can Get A Mortgage Without A Credit Score
While there have been attempts to convince Freddie Mac and Fannie Mae to use newer credit scoring models when determining a borrower's eligibility for a loan, the agencies showed no signs of budging. A report from HousingWire revealed that there is another way for borrowers to get a loan without having a traditional credit score.
"Waterstone Mortgage, a national lender based in Wisconsin and licensed to lend in 48 states, announced Tuesday that it is now lending to borrowers who do not have a credit history," according to the report.
"According to the company, its 'Non-Traditional Credit Program' will use other payment history indicators like cell phone bills, rent, utilities, and insurance premiums when underwriting a borrower."
Waterstone Mortgage claims that there are 45 million adults in America that have limited to no credit history, making them ineligible for scores from Equifax, Experian and Transunion, according to the report. The company used data from the Consumer Financial Protection Bureau to back its claims.
To learn more about Waterstone Mortgage, click on the image above.
