BROADENING ACCESS TO HOMEOWNERSHIP: VantageScore 4.0 implementation for GSE-funded mortgages and the balance between expanding financial inclusion and risk management

Is there a tradeoff between expanding the pool of potential mortgage eligible consumers and sacrificing risk management? 

The Federal Housing Finance Agency (FHFA), which regulates Fannie Mae and Freddie Mac, has mandated use of VantageScore 4.0 with a 3-year roadmap for implementation. Meanwhile, millions of creditworthy consumers are on the outside of the American Dream of homeownership, looking in. 

On this week’s episode of The SCORE, we hear from Tony Hutchinson, Senior Vice President of Industry and Government Relations at VantageScore. Tony explains where we are on the road to VantageScore 4.0 implementation for GSE-funded mortgages, the positive reception to VantageScore from lenders, and the populations most impacted by maintaining the status quo.