Posted By: Luv2run
Credit Score No Co Borrower - 01/11/19 07:03 PM
On withdrawn loan applications or other applications where there has not been a credit decision made, I was thinking we would answer NA for both borrower and co borrower credit score(8888) even when there is not a co borrower. However, if there is no co borrower should I be putting 9999 for the co borrower if no credit decision was made?
Posted By: hmdagal
Re: Credit Score No Co Borrower - 01/11/19 08:51 PM
Using 9999 will generate a V664.1 edit:
1) If Action Taken equals 4, 5, or 6, then Credit Score of Co-Applicant or Co-Borrower must equal 8888; and Co-Applicant or Co-Borrower, Name and Version of Credit Scoring Model must equal 9; and Co-Applicant or Co-Borrower, Name and Version of Credit Scoring Model: Conditional Free Form Text Field for Code 8 must be left blank
Posted By: Luv2run
Re: Credit Score No Co Borrower - 01/23/19 01:54 PM
Thank you! I also ran into this when the borrower is an entity and there is no co borrower. I am putting 8888 for borrower but 9999 for co borrower. Anyone have any input?
Posted By: Katherine
Re: Credit Score No Co Borrower - 01/23/19 08:39 PM
The edit noted by HMDAgal is based on the commentary to the regulation, specifically 1003.4(a)(15)-4 and 6. So in short, reporting 8888 for the transactions noted is correct.
Commentary
4. Transactions for which no credit decision was made. If a file was closed for incompleteness or the application was withdrawn before a credit decision was made, the financial institution complies with § 1003.4(a)(15) by reporting that the requirement is not applicable, even if the financial institution had obtained or created a credit score for the applicant or co-applicant. For example, if a file is closed for incompleteness and is so reported in accordance with § 1003.4(a)(8), the financial institution complies with § 1003.4(a)(15) by reporting that the requirement is not applicable, even if the financial institution had obtained or created a credit score for the applicant or co-applicant. Similarly, if an application was withdrawn by the applicant before a credit decision was made and is so reported in accordance with § 1003.4(a)(8), the financial institution complies with § 1003.4(a)(15) by reporting that the requirement is not applicable, even if the financial institution had obtained or created a credit score for the applicant or co-applicant.
6. Purchased covered loan. A financial institution complies with § 1003.4(a)(15) by reporting that the requirement is not applicable when the covered loan is a purchased covered loan