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    SFA Signs Joint Trade Association Letter to FHFA on Credit Scores

    Download Letter Here

    On Friday May 13, SFA and six other trade associations urged the FHFA to incorporate a fulsome transition plan for any potential changes  in how Fannie Mae and Freddie Mac utilize credit scores as they implement Congress’ mandate to establish a process where other credit models can be approved and used in the GSEs mortgage purchase decisions (pursuant to Section 310 of the Economic Growth, Regulatory Relief, and Consumer Protection Act of 2018) SFA’s response to the FHFA’s Request for Information surrounding the Act can be found here.

    To ensure a successful implementation of any changes to the GSEs uses of one or more new credit scoring models, the May 13th joint trade requests that FHFA provide a detailed transition with ample time for any transition. Given the potential impact that any changes may have across the market, we urge the FHFA to take steps to avoid market disruptions and mitigate adverse effects on consumers.

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    Structured Finance Association

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    Washington, DC 20006