The National Association of Mortgage Brokers (NAMB) applauded the Federal Housing Finance Agency’s (FHFA) recent decision to postpone the implementation of the planned transition from a tri-merge to a bi-merge credit score model, according to a press release.
The FHFA will allow time for additional public engagement to facilitate the transition to the proposed credit score models and credit report requirements for loans acquired by Fannie Mae and Freddie Mac.
This engagement, which will include stakeholder forums and listening sessions, will allow for identification of a wide variety of issues, opportunities, and challenges related to the successful implementation of the new requirements, including potential refinements to the timeline for adoption.
“We appreciate the FHFA’s decision to allow for more engagement on the bi-merge transition. This change in credit modeling is too significant to be rushed,” NAMB President Ernest Jones said in the release. “Since the bi-merge proposal was announced in October 2022, NAMB has engaged extensively with FHFA leadership and we are gratified that the decision was made to grant more time for contemplation.
“Accordingly, we will take the opportunity to continue to engage and encourage our members across the country to do the same,” Jones added.