In October 2015, Fannie Mae announced new requirements surrounding trended credit data with the implementation of Desktop Underwriter 10.0. Per the requirements, all credit reports submitted via Desktop Underwriter 10.0, when implemented, must include trended credit data when underwriting single-family borrowers. CoreLogic Credco® is actively working to ensure all credit reports ordered via our systems are ready to handle this initiative in advance of the implementation dates provided by Fannie Mae.
This site is your one-stop resource for the latest information regarding Trended Credit Data. It is updated regularly with:
Last week, CoreLogic Credco® communicated the timelines TransUnion had posted for the implementation of trended credit data. Equifax had not informed us of their intentions at that time, but we now have information that they will implement their trended data price adjustment to coincide with their August billing cycle.
CoreLogic Credco will begin passing along the new pricing - as per the notice sent to you in May - on July 25, 2016. Since both TransUnion and Equifax are treating trended credit data as new products, you will begin to see trended credit data on your credit reports beginning August 1, 2016.
On June 21, 2016, Fannie Mae announced that Desktop Underwriter 10.0 will now be launched the week of September 24, 2016. With this release, trended credit data will be required on all loans submitted to Fannie Mae via Desktop Underwriter.
In light of the of the new date for the DU 10.0 release, TransUnion has decided to implement trended credit data pricing on July 25th. CoreLogic Credco will begin passing along the new pricing - as per the notice sent to you in May - on this date as well. We are waiting for Equifax to announce their pricing intentions and timing. As soon as we receive notice from Equifax, we will update you.
Updated Credit Report Fields Effective June 24th
On June 24, 2016, CoreLogic Credco will roll out a new product release that will include several minor enhancements to our Instant Merge report. With this release, you may now see:
On Friday, June 10, 2016, Fannie Mae announced that they are postponing the release of Desktop Underwriter 10.0 which included trended credit data.
Yesterday, June 14, CoreLogic Credco communicated TransUnion’s plan to postpone their price adjustment until Fannie Mae launches trended credit data.
Since our communication yesterday, Equifax has announced that they will not be implementing their trended credit data price adjustment on June 25 as originally scheduled either. However, unlike TransUnion, Equifax stopped short of explicitly tying their effective date to Fannie’s launch of Desktop Underwriter 10.0.
Therefore, in accordance with the bureaus’ trended credit data pricing policies, CoreLogic Credco will not implement a price adjustment on June 25.
We will continue to monitor the situation and provide you with updates as Fannie Mae and the bureaus determine the launch dates for trended credit data and the timing for the corresponding price adjustments.
In the meantime, you can stay apprised of the latest developments by visiting Fannie Mae's DU Web Page, or our Resource Center where you can sign up for live trended credit data training.
On Friday, June 10, 2016, Fannie Mae announced that they are postponing the release of Desktop Underwriter 10.0. This update was scheduled to include trended credit data. Due to difficulties encountered during testing and feedback from clients, Fannie Mae decided it would be in the best interests of their clients to push the release out to a date yet to be determined. We have been told there will be ample notice given once a new release date has been set.
In light of the postponement of the DU 10.0 release, TransUnion has postponed their planned price increases for trended credit data. We are waiting for Equifax to announce their pricing intentions and timing. As soon as we receive notice from Equifax, we will update you.
In the meantime, we will continue to keep you updated as we get more information from Fannie Mae. To stay apprised of the latest developments, you can visit Fannie Mae's DU Web Page, or check out our Resource Center.
FICO recently announced that the inclusion of Trended Credit Data will not have an impact on credit scores. If this is the case, will it have any impact on borrowers? Fannie Mae has done some evaluation on this subject and here's what they found:
Including the trended data in DU’s credit risk assessment can:
This means that use of trended data in DU’s credit risk assessment can provide more creditworthy borrowers access to mortgage credit. The overall percentage of loans that receive an Approve/Eligible recommendation is expected to remain relatively stable.
Giving weight to how borrowers pay off credit debt puts more power in their hands to control their credit evaluation. Payment delinquencies are a significant factor in credit scores, and borrowers can do nothing but wait for the delinquencies to grow ever farther back in time. But when trended data is considered, by paying credit card balances in full or in large part for a few months, borrowers can demonstrate that a late payment was not deeply reflective of their general debt repayment ability and behavior.
Based on Fannie Mae’s analysis, borrowers can potentially improve their evaluation by the DU credit risk assessment each month by paying off credit card bills in full.
One of the most common questions we've received about Trended Credit Data is: why is Fannie Mae requiring us to do this? The short answer is that Fannie Mae's analysis indicates that the use of Trended Credit Data will allow for better modeling of loan performance.
Fannie Mae used 3.7 million credit reports with trended credit data to conduct modeling and analytics to support a comprehensive review and redevelopment of Desktop Underwriter’s credit risk assessment. They found that including trended credit data materially improved modeling of loan performance. (For more information, see the Fannie Mae Commentary: Trended Credit Data Improves DU Risk Assessment and Supports Access to Mortgage Credit).
One of the most common questions asked about Trended Credit Data is: how does this benefit my business? Trended Credit Data can benefit your business by providing greater insight into a consumer's credit history, enabling you to better predict their behavior in the future.
By noting certain trends, for example, whether a given borrower tends to pay off revolving credit lines each month, or hold a balance, you can better evaluate consumer credit health and make more informed lending decisions.
Fannie Mae recently released a list of frequently asked questions surrounding the trended credit data initiative. You can view the FAQ's here:
Trended Credit Data Will NOT Impact Loan Counselors
There have been questions surrounding the effect of Fannie Mae's Trended Credit Data initiative on Loan Counselors. We were recently informed by the credit bureaus that they will not require loan counselors to receive trended credit data, therefore it should have no impact on your business processes.
We apologize for any confusion any previous communications may have caused. If you have any additional questions, call 800.577.8787, Option 2.
Due to overwhelming demand, we have added a number of additional Q&A sessions to help answer your questions on this important topic.
Additional Q&A Sessions Starting April 15th
Since our Friday, April 8th session is sold out, we will begin to hold additional Q&A sessions on Trended Credit Data starting April 15th. We will provide you with an overview of where CoreLogic Credco is in the development cycle and answer any questions you may have surrounding how Trended Credit Data will affect your business.
To register for the next session, see the call-out box to the right for the session that best fits your schedule. If you have any additional questions, please see our documentation provided above, or call 800.577.8787, Option 2. We will continue to keep you updated as new information becomes available.
Have Questions About Trended Credit Data? Join Our Q&A Sessions!
Trended Credit Data is a hot topic in the industry right now. But there seems to be more questions than there are answers. CoreLogic Credco is here to help.
Bi-Weekly Q&A Sessions Starting April 8th
Beginning Friday, April 8th, we will begin to hold bi-weekly Q&A sessions on Trended Credit Data. We will provide you with an overview of where CoreLogic Credco is in the development cycle and answer any questions you may have surrounding how Trended Credit Data will affect your business.
To register for a session, click on the link in the call-out box for the time that best suits your schedule. If you have any additional questions, please see our documentation provided above, or call 800.577.8787, Option 2. We will continue to keep you updated as new information becomes available.
System Enhancements Beginning Last Week of March
As part of our ongoing efforts to meet new product specifications from Equifax and TransUnion, along with Fannie Mae's June 2016 deadline for implementing Trended Credit Data, CoreLogic Credco is scheduled to execute a series of system enhancements starting the last week of March.
These updates will not affect you
At this time, we do not anticipate that these enhancements will have any impact on your business. Your report format will not change and the data contained in your reports will be unaffected, until our late June updates, when Trended Credit Data will begin to display on all credit reports intended for mortgage origination.
If you have any questions, please see our documentation provided above, or call 800.577.8787, Option 2. We will continue to keep you updated as new information becomes available.
Fannie Mae and Trended Credit Data
CoreLogic® will be ready to meet the requirements
In October 2015, Fannie Mae announced new requirements surrounding trended credit data. Per the requirements, all credit reports submitted via Desktop Underwriter, as of June 25, 2016, must include trended credit data when underwriting single-family borrowers. CoreLogic Credco® is actively working to ensure all credit reports ordered via our systems are ready to handle this initiative in advance of the implementation dates provided by Fannie Mae.
What is Trended Credit Data?
Trended credit data reflects 24 months of historical data on borrower credit payments, including the:
Currently, only Equifax and TransUnion provide this information for online credit reports and will be included in our initial release. Experian data is anticipated to be available at a future date.
How will this Impact My Business?
Fannie Mae has made the trended credit data a requirement for underwriting single-family borrowers through Desktop Underwriter®. Fortunately for you, the burden is on your vendors to start providing the data. You will see more information on the tradelines in print image and XML, with the option to suppress the display on one of these formats (Fannie Mae requires at least one report format to display the data). You will not be required to sign a new contract / addendum.
If you have any questions, please see our documentation provided above. We will continue to keep you updated as new information becomes available. Contact your sales representative or call 800.577.8787, Option 2 with any additional questions
Watch our pre-recorded webinar to learn all about the trended credit data initiative.