Does Arch MI insure loans where no borrower on the loan has a credit score?-
Does Arch MI insure loans where no borrower on the loan has a credit score?
Non-traditional credit (a loan for which no borrower has a credit score) is allowed for Arch MI’s EZ DecisoningSM program with a DU® Approve/Eligible or LPA Accept/Eligible recommendation when the loan meets all Fannie Mae DU or Freddie Mac LPA requirements. It is also allowed under Arch MI’s Standard Underwriting Requirements when the requirements in Section 3.12.02.01 of the Arch MI Underwriting Manual are met. The loan must be submitted non-delegated.
Note: Borrowers with non-traditional credit are ineligible when the lender submitting the MI application is located in the state of Washington.
How do I enter a borrower with no credit scores into CONNECT?-
How do I enter a borrower with no credit scores into CONNECT?
When one (or more) borrowers have a credit score and one (or more) do not:
- Enter 0 in credit score for borrowers without a credit score.
- Enter correct credit scores for borrowers who do have a score.
- Pricing will be determined based off the lowest non-zero credit score.
When no borrower has a credit score:
- Customer must check non-traditional credit for the primary borrower – this will disable all credit score inputs.