Fannie Mae To Tighten Credit Score, Debt Requirements For
Borrowers -WP
DOW JONES NEWSWIRES
Fannie Mae (FNM) plans to raise minimum credit score requirements for
mortgages and limit the total debt that borrowers can carry relative to their
incomes, The Washington Post reports Wednesday. The Post says that starting Dec.
12, Fannie Mae's automated system will reject borrowers who have at least a 20%
down payment but whose credit scores fall below 620. Previously, the cut-off was
580. Also, for the same borrowers making a 20% down payment, no more than 45% of
gross monthly income can go to paying all debt. Fannie refused to say what the
current limit is, except to say it's higher, the Post said.
Full story at http://www.washingtonpost.com/wp-dyn/content/article/2009/11/25/
AR2009112503415.html?hpid=topnews
-Dow Jones Newswires; 212-416-2900
(END) Dow Jones Newswires
11-25-091853ET
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