Arizona FHA Streamline Now Requires Minimum 620 Credit Score
Yesterday, it was announced that virtually all lenders in the US now require a minimum credit score of 620 for the Arizona FHA Streamline refinance loan program. TB&W made the announcement that they were moving their minimum credit score requirement for all Arizona FHA streamline mortgage refinance loans to 620.
Details Of The Announcement of New Credit Score Requirements For FHA Streamline Refinance Loans
FHA Streamlines (credit and non-credit qualifying) and VA IRRRL’s with Credit Scores below 620 must be LOCKED prior to July 13, 2009 AND must CLOSE (Note Date) no later than September 15, 2009, and must be delivered to TB&W within 10 days after closing Loans in this category locked on and after July 13, 2009 will require a minimum FICO of 620. Clients will be required to obtain a 3 Repository credit report and utilize the standard method of determining qualifying FICO.
Any Conventional, FHA (including Streamline Refinance), or VA (including IRRRL) loan that exceeds $417,000 with a Credit Scores below 660 must be LOCKED prior to July 13, 2009 AND must CLOSE (Note Date) no later than September 15, 2009, and must be delivered to TB&W within 10 days after closing Loans in this category locked on and after July 13, 2009 will require a minimum FICO of 660. Clients will be required to obtain a 3 Repository credit report and utilize the standard method of determining qualifying FICO.
In addition, any previously announced minimum Credit Score requirements that TB&W has put into place, that did not have a specified Closing date, will be required to be LOCKED prior to July 13, 2009 AND must CLOSE (Note Date) no later than September 15, 2009, and must be delivered within 10 days after closing. Therefore, any loan, regardless of whether it may be locked, registered or approved, that has a qualifying credit score below 620 (with the exception of those loans that have specified higher FICO requirements) must CLOSE (Note Date) no later than September 15, 2009.
TB&W will continue to allow non-traditional credit for those borrowers with no useable credit for the loan programs that allow the use of such credit in accordance with published guidelines. TB&W is fully aware that these limitations may result in the inability for a particular loan to meet these specified deadlines. TB&W will work as diligently as possible to accommodate all loans in the pipeline. We will be unable to grant any extensions or exceptions to these requirements.
Arizona FHA Streamline Refinance: What This Announcement Means
Although the FHA guidelines do not officially require a minimum credit score, virtually all lenders (and all of the major lenders) in the US are now requiring a minimum of a 620 credit score. TB&W was the last major US lender who was not requiring a minimum credit score. There may still be a few smaller lenders who are still able to do a Arizona FHA refinance streamline loan with no minimum credit score, so be sure to ask your loan officer in order to know for sure. The rules change all the time!
More From Arizona Mortgage Team
- The FHA Streamline Refinance: Do You Need A 620 Credit Score?
- Arizona FHA Streamline Refinance: No Credit Score Required
- Arizona FHA Loans: Most Lenders Now Requiring A Minimum 620 Credit Score For Arizona FHA Loans
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620 as the minimum. Yikes. That leaves out a lot of people.