As interest rates rise and refinancings drop, lenders lower FICO score requirements

June 30, 2017 06:31PM

The FICO credit score required by lenders from borrowers to originate mortgage loans declined in April according to Urban Institute’s latest report. It stated that the increase in interest rates and the drop in refinance applications has caused lenders to soften their credit requirements. Since the housing crisis, the median FICO score has increased by 23 points and now stands at around 645, compared to the low 600s a decade ago. []