Freddie Mac Single-Family Seller/Servicer Guide 5203.2 — Credit Scores

Freddie Mac Single-Family Seller/Servicer Guide 5203.2 — Credit Scores

Effective 2026-07-01 · Freddie Mac's stamp for this section

This section contains information related to: ■ Glossary terms used in this section ■ Minimum number of Credit Scores ■ Required Credit Score versions ■ Credit Score requirements (a) Glossary terms used in this section The Seller should be familiar with the Glossary definitions of the following terms: Glossary terms C Credit Score A number summarizing an individual’s credit profile that indicates the likelihood that a Borrower will repay future obligations. I Indicator Score The one Underwriting Score identified to represent the eligibility of the Mortgage for the product offering. The related ULDD Data Point names are Loan Level Credit Score Selection Method Type and Loan Level Credit Score Value. U Underwriting Score The one Credit Score selected from all usable Credit Scores obtained for an individual Borrower that quantifies the credit reputation risk for that individual Borrower. The related ULDD Data Point name is Credit Score Value. (b) Minimum number of Credit Scores The Seller must request Credit Scores and accompanying reason codes for each Borrower from at least two of the consumer reporting agencies (CRAs). Credit Scores can be obtained by requesting a credit reporting company (CRC) to provide them as part of the credit report. It is unusual for a Borrower who reports credit obligations on the application not to have a Credit Score. If no Credit Score is received for such a Borrower, the Seller must re-check the information provided when ordering the Credit Scores and resubmit a request if an error is identified. (c) Required Credit Score versions Freddie Mac is transitioning toward a modernized and more competitive Credit Score framework for Mortgage underwriting. In support of this transition, the U.S. Federal Housing (FHFA) has approved the use of Classic FICO®, VantageScore® 4.0 and FICO Score 10T models. Each of the three major U.S. CRAs uses a different name to refer to Classic FICO scores; however, all FICO scores are based on the same underlying FICO scoring model developed by Fair Isaac Corporation. The following Credit Score versions generated by each CRA are used to determine the Underwriting Score and Indicator Score for Mortgages delivered to Freddie Mac: ■ Equifax® FICO Classic v5 ■ Experian®/Fair Isaac Risk Model v2 ■ TransUnion® FICO Risk Score 04 The following versions of VantageScore 4.0 are also eligible for use by approved Sellers: VantageScore 4.0 versions ■ Equifax VantageScore 4.0 ■ Experian VantageScore 4.0 ■ TransUnion VantageScore 4.0 Sellers that wish to participate in the delivery of Mortgages assessed using VantageScore 4.0 should contact their Freddie Mac representative or Customer Service at 800-FREDDIE for information regarding program availability, eligibility requirements and applicable delivery instructions. FICO 10T versions ■ FICO Score 10T (Equifax, Experian, TransUnion) Mortgages delivered with FICO Score 10T are currently not eligible; however, as further progress is made on the updated credit score framework, Freddie Mac plans to purchase Mortgages delivered using FICO Score 10T. (d) Credit Score requirements (i) Credit Score requirements for Loan Product Advisor Mortgages A minimum Indicator Score is not required for Accept Mortgages because Loan Product Advisor has made the determination that the Borrower’s credit reputation and the Mortgage product are acceptable. Credit Scores, including Indicator Scores, are obtained by Loan Product Advisor, provided with the merged credit report(s) and reflected on the Feedback Certificate. Freddie Mac will use the Indicator Score reflected on the Last Feedback Certificate. For Mortgages sold through Cash-Released XChange®, the Seller must deliver the Indicator Score from the Last Feedback Certificate as ULDD Data Point Loan Level Credit Score Value. (ii) Credit Score requirements for Manually Underwritten Mortgages and Non-Loan Product Advisor Mortgages Manually Underwritten Mortgages must comply with the requirements in Section 5202.1 for: ■ Determining if the Credit Scores are usable or not usable ■ Identifying the Underwriting Score for each Borrower ■ Identifying the Indicator Score for the Mortgage ■ Documenting and delivering Underwriting Scores and Indicator Scores

Source: Freddie Mac Single-Family Seller/Servicer Guide 5203.2 — Credit Scores · source URL · snapshot 4c94f67729042dd6