A credit score is a number that lenders use to estimate risk with mortgage loan borrowers. Experience has shown them that borrowers with higher credit scores are less likely to default on a loan.  But that doesn't mean lenders only qualify mortgage loans to people with good credit.  Our participating network of lenders offer competitive home loan programs for those who have had credit challenges.

How credit scores calculated

Credit scores are generated by inputting the data from your credit report into software that analyzes it and calculates a number. The three major credit reporting agencies don't necessarily use the same scoring software, so don't be surprised if you discover that the credit scores they generate for you are different.

 Which parts of a credit history are most important

The chart below shows a breakdown of the approximate value that each aspect of your credit report adds to a credit score calculation. Use these percentages as a guide: 

35% - Your Payment History
30% - Amounts You Owe (balances)
15% - Length of Your Credit History
10% - Types of Credit Used
10% - New Credit